Friday 10 February

Hot off the press: The US Treasury has released regulations relating to the reporting and tax withholding requirements of Foreign Financial Institutions (FFIs) under the Foreign Account Tax Compliance Act (FATCA).

The regulations represent the most recent guidance provided on FATCA since its enactment in 2010. This is a complex subject, highlighted by the 389 pages of heavy reading issued by the US Treasury. In this article Marcus Hinkley explains more.

In light of the significance of FATCA, Collas Crill has had, for the past 6 months, a FATCA team with a broad range of knowledge across the finance industry. The goal of this team is to demystify the legal obligations of FATCA and provide a cost-effective solution to the legal issues it arises for Channel Islands service providers.

Please contact Marcus to find out more.

Friday 10 February

The Royal Court of Jersey's approval of third party funding has given businesses and individuals in the Island improved access to justice.

In a recent judgment (In the Matter of the Valetta Trust), the Royal Court has given its approval, in principle, to third party funding arrangements, facilitating access to justice in the Jersey courts by plaintiffs (claimants) who would not otherwise be able to bring a claim.

This development takes on added importance in these times of recession where the legal costs associated with pursuing litigation can often be prohibitive, but is perhaps an unwelcome development for the likes of trustees and other professionals who may find themselves on the end of claims brought with the backing of the resources available to a litigation funder, says Danny Le Maistre in this article.

Friday 10 February

In his final article before he died, Richard Pirie contributed this article to Jersey Finance's update no 6: Jersey's international appeal as a finance centre. We are including it here as a tribute to Richard, who was a prolific author throughout his career.

Friday 10 February

The Trusts (Amendment No. 5) (Jersey) Law 201- was adopted by the States of Jersey on 3 November 2011 and is awaiting its sanction by HM Privy Council before being brought into force, which is likely to be in the first half of 2012.

Rather than introducing new concepts into the Trusts (Jersey) Law 1984, such as the anticipated trustees' non-possessory lien, the Amendment clarifies certain matters previously the subject of some debate. David Dorgan explains some of the amendments.

Friday 10 February

Islam is the second largest and fastest growing religion in the world. When protecting and preserving his wealth, the client must, with professional advice, take into account not only the various tax liabilities of his country of residence but also the likely impact of any forced heirship provisions.

A foundation or a trust can be modified to form an important part of a client's lifetime tax planning strategy, creating a flexible long-term structure to address certain succession issues which are inherent under Islamic Law.

In this briefing David Dorgan explain how a foundation or trust can be successfully tailored to form an important part of a client's strategy for safeguarding asset(s) while complying with Sharia law. 

Friday 10 February

It is a reasonable assumption that the economic turmoil and deficit difficulties facing the UK will invigor HMRC to investigate offshore accounts, says David Dorgan in this article.

UK taxpayers are perfectly entitled to operate bank and investment accounts in offshore jurisdictions. However, those UK taxpayers not fully complying with their obligations to the UK Exchequer may find HMRC knocking on their door. It would be sensible for those taxpayers to take the initiative and seek professional advice before HMRC writes to them, he says.

The Channel Islands can assist those taxpayers with the proper structuring of their wealth and/or business interests for their present and future benefit without fearing 'the knock' from HMRC.