The Norwegian Ministry of Finance announced on April 15, 2013 the signing of an agreement with the United States for an automatic exchange of financial information between the countries’ tax authorities, pursuant to the U.S. Foreign Account Tax Compliance Act (FATCA).
The agreement makes Norway the second Nordic nation to enact FATCA, after the Danish government signed a similar agreement in November 2012.
A memorandum of understanding states that the United States intends to treat Norwegian financial institutions as being in compliance with the FATCA rules.With the agreement, Norwegian financial institutions will not be subject to withholding tax, and the agreement will also facilitate the reporting obligation for Norwegian financial institutions, so that they report to the Norwegian tax authorities, who in turn will then pass on the information to U.S. authorities.
The agreement will enter into force upon an exchange of notes after the necessary procedures for its entry into force have been completed (in Norway, this requires the consent of the Parliament).
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