SCB organises workshop for banks, NBFIs

FE Team | Published: February 24, 2014 00:00:00 | Updated: November 30, 2026 06:01:00

Guests and participants of the workshop, organised by Standard Chartered Bank, pose for photograph in the city recently.

Standard Chartered Bank (SCB) has organised a workshop on 'Foreign Account Tax Compliance Act (FATCA) and UN Sanctions Compliance' in the capital recently.
Over 75 senior officials from banks and non-bank financial institutions (NBFIs) of the country attended the workshop, said a press statement.
Deputy Governor of Bangladesh Bank S K Sur Chowdhury attended the programme as the chief guest.
He laid emphasis on the importance of compliance with FATCA and UN Sanctions regimes by the banks in light of the heightened scrutiny in the financial sector around the world. He said BB has already issued instructions to Banks to enter into 'Participation Agreements' and register themselves with IRS. Banks have also been advised to obtain written consent of customers before disclosing / reporting anything to IRS.
Head of Compliance Training of Standard Chartered Bank, South Asia P Ananthakrishnan facilitated the workshop.
He said FATCA requires 'US Persons' (defined as US citizens, US green card holders, US residents and US entities having 10 per cent or more US ownership) to disclose specified foreign financial assets to US Internal Revenue Service (IRS) every year while filing their income tax return.
FATCA also requires banks and financial institutions (termed as foreign financial institutions) to report to the IRS all aggregate balances and deposits beyond a certain threshold limit held with them by customers who are 'US Persons' or 'Potential' (suspected) US persons, he added.
FATCA will be operational from July 1 this year, Mr Ananthakrishnan said adding, all FFIs are required to register themselves with the IRS and also enter into 'Participation Agreements' with IRS before April 25.
Any FFI which does not enter into a 'Participation Agreement' with IRS will be deemed as a 'Non-Participating FFI' resulting in a Withholding Tax of 30 per cent from its income such as interest, dividend etc from 'US Sources'.
Managing Director and CEO of Eastern Bank Limited Ali Reza Iftekhar urged all senior bankers present to give utmost importance to the various regulations locally as well as in the global context.
Standard Chartered Bank, Bangladesh CEO Jim McCabe, Managing Director and Head of Client Coverage Abrar Anwar and Head of Legal and Compliance Chowdhury MAQ Sarwar were also present on the occasion.