Broadscope Fund Administrators, an independent private equity fund administration firm, has released a white paper outlining key recommendations for private equity firms developing strategies to comply with the Foreign Account Tax Compliance Act (FATCA).
The paper, FATCA Compliance for Private Equity Funds: Navigating the Clutter, outlines the responsibilities of both foreign and domestic private equity funds and suggests measures that should be considered in developing an effective FATCA compliance programme.
"FATCA goes into effect July 1 and there is still considerable uncertainty in the market," says Robert F Aufenanger, founder and managing member. "Private equity firms that have yet to develop a FATCA compliance program need to make it a priority, as lack of compliance could have serious consequences for their funds and their investors."
Whether private equity firms decide to administer their FATCA compliance programme in-house or use the assistance of a third-party administrator, Broadscope's white paper provides a summary that identifies key steps for firms to address now.
