Egypt’s Banque Du Caire has signed today an agreement with the Internal Revenue Service (IRS), the US tax authority, to adopt the FATCA law (Foreign Account Tax Compliance Act).
As pursuant to the agreement, Banque Du Caire CEO Mounir El Zahed stated that his bank is currently taking all the necessary measures and making the technical amendments required to meet with the terms and conditions of FATCA.
The Foreign Account Tax Compliance Act (FATCA) was signed into law on 18 March 2010. Its purpose is to uncover U.S. persons who may be evading U.S. taxes by investing through foreign financial institutions (FI) or other foreign entities. Countries that do not adopt the law may face punishment from the US government.
In this respect, Banque Du Caire has established a new committee dedicated for adopting the US legislation, said Hafez Aboul Azm – Head of Banking Compliance and Institution Governance at the bank.
Moreover, Banque Du Caire has also endorsed a new automated system, Aboul Azm noted, adding it comes as a prelude to adopting the US FATCA by the beginning of July, 2014.
Established in the middle of the 20th century, Banque Du Caire exists in 228 branches and banking units nationwide, with more than 424 ATMs located across the nation to serve around 3.8 million customers.