IRS Gives Some Foreign Banks More Time to Report Accounts

Certain foreign banks will get an automatic extension to July 15 to report U.S. bank accounts to the IRS to ease the impact of the coronavirus.

The Internal Revenue Service clarified that foreign financial institutions based in Model 2 countries—where banks must report U.S. accounts directly to the IRS—are granted an extension on their Foreign Account Tax Compliance Act (FATCA) forms from March 31, 2020 to July 15, 2020. The notice was published in an IRS FAQ that was updated on Wednesday.

• Under FATCA, foreign financial institutions (FFIs) must report U.S. account holders either directly through the IRS, or ...