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List of terms used for FATCA |
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| Account holder | Term used to describe an entity, individual or non-individual, that has a source of FATCA-related income from a financial institution. |
| Agreement | Within the context of international tax, an agreement has the same standing as a treaty. |
| Competent authority |
Under IGA definitions, a Competent Authority is:
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| Custodial institution | Under IGA definitions, an entity that holds, as a substantial portion of its business, financial assets for the account of others |
| Data | Under FATCA data relates to the content of bulk exchanges. |
| Depository institution | Under IGA definitions, an entity that accepts deposits in the ordinary course of a banking or similar business. |
| Disclosure | FATCA reportable account information, this is submitted to Inland Revenue in the form of an XML file. |
| Financial institution (FI) | From the perspective of administering FATCA within New Zealand, this relates to financial institutions that are paying tax in New Zealand |
| Foreign financial institution (FFI) | From the perspective of the country requiring FATCA information. For the US, this is all financial institutions that are not United States based. |
| Foreign jurisdiction | For NZ DTAs and FATCA, a country other than New Zealand who we have treaties with. |
| Global Intermediary Identification Number (GIIN) | The number issued by the US IRS when a foreign financial institution registers for FATCA. |
| Information exchange |
Within the context of international taxation and OECD practices, the term 'information exchange' has specific meaning
When referring to an 'information exchange', this only relates to the information sent between foreign jurisdictions. It does not relate to any information coming into the New Zealand Inland Revenue from any customers. |
| Intergovernmental Agreement | Agreement between the United States and New Zealand to support a Model 1 implementation of FATCA. |
| Investment entity |
Under IGA definitions, an entity that conducts a business, or is managed by an entity that conducts as a business, one or more of the following activities or operations on behalf of the customer.
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| Memorandum of Understanding (MOU) | A document describing a bilateral or multilateral agreement between two or more parties. It expresses a convergence of will between the parties, indicating an intended common line of action. It is often used in cases where parties either do not imply a legal commitment or in situations where the parties cannot create a legally enforceable agreement. |
| Non-participating financial institution (NPFI) | A reporting New Zealand FI that has been identified by the United States as having significant non-compliance with the obligations under the IGA, where the non-compliance has not been resolved and the United States has determined that the Financial Institution shall be treated as an NPFI. An NPFI also includes a 'non-participating FFI' as that term is defined in US Treasury Regulations. |
| Non-reporting financial institution | Under IGA definitions, any New Zealand FI or other entity resident in New Zealand that is identified in Annex II of the IGA as a non-reporting NZ FI or that otherwise qualifies as a deemed-compliant FFI, an exempt beneficial owner, or an excepted FFI under relevant US Treasury regulations. |
| NZFI | New Zealand financial institution. A financial institution that is resident in New Zealand (excluding any branches located outside New Zealand) and any branch of a financial institution not resident in New Zealand, if such a branch is located in New Zealand. |
| Partner jurisdiction (PJ) | Under IGA definitions, a jurisdiction that has in effect an agreement with the United States to facilitate the implementation of FATCA. |
| Provision and exchange of data |
The provision of data is the activity carried out by the financial institution. The exchange is the act of giving one thing and receiving another in return - this crosses over with the 'reciprocal' data exchange aspects of FATCA. The data relates to the FATCA facts and statistics collected. |
| Reporting financial institutions | A Financial Institution that must report on all reportable accounts on an automatic basis. |
| Tax identification number (TIN) |
The taxpayer identification number is an identification number used by the United States Internal Revenue Service to administer their tax laws The exchange is the act of giving one thing and receiving another in return - this crosses over with the 'reciprocal' data exchange aspects of FATCA. The data relates to the FATCA facts and statistics collected. |
| United States Internal Revenue Service (IRS) | The competent authority within the United States in relation to FATCA. They undertake a similar role to that of the Inland Revenue in New Zealand. |
| Withholding agent | A person that has control, receipt, custody, disposal or payment of a withholdable payment |
| Withholdable payment | Covers various types of income and certain gross proceeds from the sale or disposition of property. |
Last updated:
18 Dec 2025