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Agreement between the United States of America and the Republic of Austria for

Cooperation to Facilitate the Implementation of FATCA

Whereas, the United States of America and the Republic of Austria (each, a “Party,” and 

together, the “Parties”) seek to build on their existing relationship with respect to mutual 

assistance in tax matters and desire to conclude an agreement to improve their cooperation in 

combating international tax evasion;

Whereas, Article 25 of the Convention between the United States of America and the Republic 

of Austria for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with 

Respect to Taxes on Income, signed May 31, 1996 (the “Convention”), as it may be amended,

authorizes the exchange of information for tax purposes;

Whereas, the United States of America enacted provisions commonly known as the Foreign

Account Tax Compliance Act (“FATCA”), which introduce a reporting regime for financial 

institutions with respect to certain accounts;

Whereas, the Republic of Austria is supportive of the underlying policy goal of FATCA to 

improve tax compliance;

Whereas, FATCA has raised a number of issues, including that Austrian financial institutions

may not be able to comply with certain aspects of FATCA due to domestic legal 

impediments;

Whereas, intergovernmental cooperation to facilitate FATCA implementation would address 

these issues and reduce burdens for Austrian financial institutions;

Whereas, the Parties desire to conclude an agreement to provide for cooperation to facilitate 

the implementation of FATCA based on direct reporting by Austrian financial institutions to 

the U.S. Internal Revenue Service, supplemented by the exchange of information upon 

request pursuant to the Convention, and subject to the confidentiality and other protections 

provided for therein, including the provisions limiting the use of the information exchanged 

under the Convention;

Now, therefore, the Parties have agreed as follows:

Article 1

Definitions

1. For purposes of this agreement and any annexes thereto (“Agreement”), the following 

terms shall have the meanings set forth below:
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a) The term “United States” means the United States of America, including the 

States thereof, but does not include the U.S. Territories. Any reference to a “State”

of the United States includes the District of Columbia.

b) The term “U.S. Territory” means American Samoa, the Commonwealth of the 

Northern Mariana Islands, Guam, the Commonwealth of Puerto Rico, or the U.S.

Virgin Islands.

c) The term “IRS” means the U.S. Internal Revenue Service. 

d) The term “Austria” means the Republic of Austria.

e) The term “Partner Jurisdiction” means a jurisdiction that has in effect an 

agreement with the United States to facilitate the implementation of FATCA. 

The IRS shall publish a list identifying all Partner Jurisdictions.

f) The term “Competent Authority” means:

1) in the case of the United States, the Secretary of the Treasury or his 

delegate; and

2) in the case of Austria, the Federal Minister of Finance or his delegate.

g) The term “Financial Institution” means a Custodial Institution, a Depository

Institution, an Investment Entity, or a Specified Insurance Company.

h) The term “Foreign Reportable Amount” means, in accordance with relevant 

U.S. Treasury Regulations, a payment of fixed or determinable annual or 

periodical income that would be a withholdable payment if it were from sources 

within the United States.

i) The term “Custodial Institution” means any Entity that holds, as a substantial 

portion of its business, financial assets for the account of others. An entity holds 

financial assets for the account of others as a substantial portion of its business if 

the entity’s gross income attributable to the holding of financial assets and related 

financial services equals or exceeds 20 percent of the entity’s gross income during

the shorter of: (i) the three-year period that ends on December 31 (or the final day

of a non-calendar year accounting period) prior to the year in which the

determination is being made; or (ii) the period during which the entity has been in 

existence.

j) The term “Depository Institution” means any Entity that accepts deposits in the 

ordinary course of a banking or similar business.

k) The term “Investment Entity” means any Entity that conducts as a business (or

is managed by an entity that conducts as a business) one or more of the 

following activities or operations for or on behalf of a customer:
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1) trading in money market instruments (cheques, bills, certificates of deposit, 

derivatives, etc.); foreign exchange; exchange, interest rate and index

instruments; transferable securities; or commodity futures trading;

2) individual and collective portfolio management; or

3) otherwise investing, administering, or managing funds or money on 

behalf of other persons.

This subparagraph 1(k) shall be interpreted in a manner consistent with similar 

language set forth in the definition of “financial institution” in the Financial 

Action Task Force Recommendations.

l) The term “Specified Insurance Company” means any Entity that is an 

insurance company (or the holding company of an insurance company) that 

issues, or is obligated to make payments with respect to, a Cash Value 

Insurance Contract or an Annuity Contract.

m) The term “Austrian Financial Institution” means (i) any Financial Institution

organized under the laws of Austria, but excluding any branch of such Financial

Institution that is located outside Austria, and (ii) any branch of a Financial 

Institution not organized under the laws of Austria, if such branch is located in

Austria.

n) The term “Partner Jurisdiction Financial Institution” means (i) any Financial

Institution established in a Partner Jurisdiction, but excluding any branch of such

Financial Institution that is located outside the Partner Jurisdiction, and (ii) any

branch of a Financial Institution not established in the Partner Jurisdiction, if such 

branch is located in the Partner Jurisdiction.

o) The term “Reporting Austrian Financial Institution” means any Austrian 

Financial Institution that is not a Non-Reporting Austrian Financial Institution.

p) The term “Non-Reporting Austrian Financial Institution” means any Austrian 

Financial Institution, or other Entity resident in Austria, that is described in Annex

II as a Non-Reporting Austrian Financial Institution or that otherwise qualifies as

a deemed-compliant FFI or an exempt beneficial owner under relevant U.S.

Treasury Regulations.

q) The term “Nonparticipating Financial Institution” means a nonparticipating 

FFI, as that term is defined in relevant U.S. Treasury Regulations, but does not 

include an Austrian Financial Institution or other Partner Jurisdiction Financial

Institution other than a Financial Institution treated as a Nonparticipating Financial

Institution pursuant to paragraph 2 of Article 4 of this Agreement or the 

corresponding provision in an agreement between the United States and a Partner 

Jurisdiction.

r) The term “New Account” means a Financial Account opened by a Reporting

Austrian Financial Institution on or after July 1, 2014.
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s) The term “U.S. Account” means a Financial Account maintained by a Reporting

Austrian Financial Institution and held by one or more Specified U.S. Persons or by

a Non-U.S. Entity with one or more Controlling Persons that is a Specified U.S. 

Person. Notwithstanding the foregoing, an account shall not be treated as a U.S.

Account if such account is not identified as a U.S. Account after application of the 

due diligence procedures in Annex I.

t) The term “Non-Consenting U.S. Account” means a Financial Account 

maintained by a Reporting Austrian Financial Institution as of June 30, 2014,

with respect to which (i) the Reporting Austrian Financial Institution has 

determined that it is a U.S. Account in accordance with the due diligence 

procedures in Annex I, (ii) the laws of Austria prohibit the reporting required 

under an FFI Agreement absent consent of the Account Holder, (iii) the Reporting

Austrian Financial Institution has sought, but was unable to obtain, the required 

consent to report or the Account Holder’s U.S. TIN; and (iv) the Reporting

Austrian Financial Institution has reported, or was required to report, aggregate

account information to the IRS as prescribed under sections 1471 to 1474 of the 

U.S. Internal Revenue Code and relevant U.S. Treasury Regulations.

u) The term “Financial Account” has the meaning set forth in relevant U.S.

Treasury Regulations, but does not include any account that is excluded from 

the definition of Financial Account in Annex II.

v) The term “FFI Agreement” means an agreement that sets forth the requirements, 

consistent with this Agreement, for the Reporting Austrian Financial Institution to 

be treated as complying with the requirements of section 1471(b) of the U.S.

Internal Revenue Code.

w) The term “Account Holder” means the person listed or identified as the holder of

a Financial Account by the Financial Institution that maintains the account. A

person, other than a Financial Institution, holding a Financial Account for the 

benefit or account of another person as agent, custodian, nominee, signatory, 

investment advisor, or intermediary, is not treated as holding the account for 

purposes of this Agreement, and such other person is treated as holding the 

account. For purposes of the immediately preceding sentence, the term “Financial

Institution” does not include a Financial Institution organized or incorporated in a 

U.S. Territory. In the case of a Cash Value Insurance Contract or an Annuity

Contract, the Account Holder is any person entitled to access the Cash Value or

change the beneficiary of the contract. If no person can access the Cash Value or 

change the beneficiary, the Account Holder is any person named as the owner in 

the contract and any person with a vested entitlement to payment under the terms 

of the contract. Upon the maturity of a Cash Value Insurance Contract or an

Annuity Contract, each person entitled to receive a payment under the contract is 

treated as an Account Holder.

x) The terms “Cash Value Insurance Contract” and “Annuity Contract” have the 

meanings set forth in relevant U.S. Treasury Regulations.
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y) The term “U.S. Person” means a U.S. citizen or resident individual, a partnership 

or corporation organized in the United States or under the laws of the United States

or any State thereof, a trust if (i) a court within the United States would have

authority under applicable law to render orders or judgments concerning

substantially all issues regarding administration of the trust, and (ii) one or more

U.S. persons have the authority to control all substantial decisions of the trust, or 

an estate of a decedent that is a citizen or resident of the United States. This 

subparagraph 1(y) shall be interpreted in accordance with the U.S. Internal 

Revenue Code.

z) The term “Specified U.S. Person” means a U.S. Person, other than: (i) a 

corporation the stock of which is regularly traded on one or more established 

securities markets; (ii) any corporation that is a member of the same expanded 

affiliated group, as defined in section 1471(e)(2) of the U.S. Internal Revenue 

Code, as a corporation described in clause (i); (iii) the United States or any wholly

owned agency or instrumentality thereof; (iv) any State of the United States, any

U.S. Territory, any political subdivision of any of the foregoing, or any wholly

owned agency or instrumentality of any one or more of the foregoing; (v) any

organization exempt from taxation under section 501(a) of the U.S. Internal 

Revenue Code or an individual retirement plan as defined in section 7701(a)(37)

of the U.S. Internal Revenue Code; (vi) any bank as defined in section 581 of the 

U.S. Internal Revenue Code; (vii) any real estate investment trust as defined in 

section 856 of the U.S. Internal Revenue Code; (viii) any regulated investment

company as defined in section 851 of the U.S. Internal Revenue Code or any entity

registered with the U.S. Securities and Exchange Commission under the

Investment Company Act of 1940 (15 U.S.C. 80a-64); (ix) any common trust fund 

as defined in section 584(a) of the U.S. Internal Revenue Code; (x) any trust that is 

exempt from tax under section 664(c) of the U.S. Internal Revenue Code or that is 

described in section 4947(a)(1) of the U.S. Internal Revenue Code; (xi) a dealer in 

securities, commodities, or derivative financial instruments (including notional 

principal contracts, futures, forwards, and options) that is registered as such under 

the laws of the United States or any State; (xii) a broker as defined in section 

6045(c) of the U.S. Internal Revenue Code; or (xiii) any tax-exempt trust under a 

plan that is described in section 403(b) or section 457(g) of the U.S. Internal 

Revenue Code.

aa) The term “Entity” means a legal person or a legal arrangement such as a trust.

bb) The term “Non-U.S. Entity” means an Entity that is not a U.S. Person.

cc) An Entity is a “Related Entity” of another Entity if either Entity controls the 

other Entity, or the two Entities are under common control. For this purpose, 

control includes direct or indirect ownership of more than 50 percent of the 

vote or value in an Entity. Notwithstanding the foregoing, Austria may treat an

Entity as not a Related Entity of another Entity if the two Entities are not

members of the same expanded affiliated group as defined in section 1471(e)(2) 

of the U.S. Internal Revenue Code.
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dd) The term “U.S. TIN” means a U.S. federal taxpayer identifying number.

ee) The term “Controlling Persons” means the natural persons who exercise control 

over an Entity. In the case of a trust, such term means the settlor, the trustees, the 

protector (if any), the beneficiaries or class of beneficiaries, and any other natural 

person exercising ultimate effective control over the trust, and in the case of a legal 

arrangement other than a trust, such term means persons in equivalent or similar 

positions. The term “Controlling Persons” shall be interpreted in a manner

consistent with the Financial Action Task Force Recommendations.

2. Any term not otherwise defined in this Agreement shall, unless the context otherwise 

requires or the Competent Authorities agree to a common meaning (as permitted by domestic 

law), have the meaning that it has at that time under the law of the Party applying this

Agreement, any meaning under the applicable tax laws of that Party prevailing over a meaning 

given to the term under other laws of that Party.

Article 2

Reporting and Exchange of Information

1. Directive to Austrian Financial Institutions. Austria agrees to direct and enable, and 

hereby directs and enables, all Reporting Austrian Financial Institutions to:

a) register on the IRS FATCA registration website with the IRS by July 1, 2014,

and comply with the requirements of an FFI Agreement, including with respect to 

due diligence, reporting, and withholding;

b) with respect to Financial Accounts maintained by Reporting Austrian Financial 

Institutions as of June 30, 2014 identified as U.S. Accounts,

(i) request from each Account Holder the Account Holder’s U.S. TIN and 

consent to report and simultaneously inform the Account Holder in writing 

that, if the U.S. TIN and consent are not given, (1) aggregate information 

about the account shall be reported to the IRS, (2) information about the 

account may give rise to a group request by the IRS for specific information 

about the account, (3) in such case, the account information shall be 

transmitted to the Austrian tax administration, and (4) the Austrian tax

administration may exchange this information with the IRS in accordance

with paragraph 2 of this Article;

(ii) report annually to the IRS, in the time and manner required by an FFI 

Agreement and relevant U.S. Treasury Regulations, the aggregate 

information required with respect to Non-Consenting U.S. Accounts;

c) with respect to accounts of, or obligations to, Nonparticipating Financial 

Institutions that exist as of June 30, 2014, and in connection with which the 
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Reporting Austrian Financial Institution expects to pay a Foreign Reportable

Amount,

(i) with respect to calendar years 2015 and 2016, request from each such 

Nonparticipating Financial Institution the Nonparticipating Financial 

Institution’s consent to report and simultaneously inform the Nonparticipating 

Financial Institution in writing that, if such consent is not given, (1) aggregate

information about Foreign Reportable Amounts paid to the Nonparticipating 

Financial Institution shall be reported to the IRS, (2) such information may

give rise to a group request by the IRS for specific information about the

account or obligation, (3) in such case, the information about the account or

obligation shall be transmitted to the Austrian tax administration, and (4) the

Austrian tax administration may exchange this information with the IRS in 

accordance with paragraph 2 of this Article;

(ii) with respect to calendar years 2015 and 2016, report to the IRS the number 

of non-consenting Nonparticipating Financial Institutions to which Foreign 

Reportable Amounts were paid during the year and the aggregate value of 

all such payments no later than January 31 of the year following the year to 

which the information relates;

d) with respect to New Accounts identified as U.S. Accounts, obtain from each 

Account Holder consent to report, consistent with the requirements of an FFI 

Agreement, as a condition of account opening; and

e) with respect to new accounts opened by, or obligations entered into with, a 

Nonparticipating Financial Institution on or after July 1, 2014, and in 

connection with which the Reporting Austrian Financial Institution expects 

to pay a Foreign Reportable Amount, obtain from each such 

Nonparticipating Financial Institution consent to report, consistent with the 

requirements of an FFI Agreement, as a condition of opening the account, or 

entering into the obligation.

2. Exchange of Information.

a) In the context of FATCA implementation, the U.S. Competent Authority may make 

group requests to the Austrian Competent Authority based on the aggregate

information reported to the IRS pursuant to the directive described in 

subparagraphs 1(b)(ii) and 1(c)(ii) of this Article, for all the information about 

Non-Consenting U.S. Accounts and Foreign Reportable Amounts paid to 

Nonparticipating Financial Institutions that the Reporting Austrian Financial

Institution would have had to report under an FFI Agreement had it obtained 

consent. Such requests shall be made pursuant to Article 25 of the Convention and 

shall apply to information for the time period beginning on or after July 1, 2014.
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b) The information requested pursuant to subparagraph 2(a) of this Article shall be 

considered information that is foreseeably relevant for carrying out the

administration or enforcement of the domestic laws of the United States concerning

taxes covered by the Convention and under which taxation is not contrary to the 

Convention, without regard to whether the Reporting Austrian Financial Institution 

or another party has contributed to non-compliance of the taxpayers in the group

request.

c) The Austrian Competent Authority shall, within eight months of the receipt of the

group request, provide the U.S. Competent Authority with all such requested 

information in the same format in which the information would have been reported 

if it had been reported directly to the IRS by the Reporting Austrian Financial

Institution. The Austrian Competent Authority shall notify the U.S. Competent

Authority and the relevant Reporting Austrian Financial Institution if there will be

any delay in the exchange of the requested information. In such case, the 

provisions of subparagraph 2(b) of Article 3 of this Agreement shall apply with 

respect to the Reporting Austrian Financial Institution, and the Austrian 

Competent Authority must exchange the requested information with the U.S. 

Competent Authority as soon as possible.

d) Notwithstanding subparagraph 2(c) of this Article, the Austrian Competent

Authority is not required to obtain and exchange the U.S. TIN of the Account

Holder of a Non-Consenting U.S. Account if such U.S. TIN is not in the records 

of the Reporting Austrian Financial Institution. In such a case, the Austrian 

Competent Authority shall obtain and include in the exchanged information the 

date of birth of the relevant person, if the Reporting Austrian Financial

Institution has such date of birth in its records.

Article 3

Application of FATCA to Austrian Financial Institutions

1. Treatment of Reporting Austrian Financial Institutions. Subject to the provisions 

of paragraph 2 of Article 4 of this Agreement, each Reporting Austrian Financial Institution 

that registers with the IRS on the IRS FATCA registration website and complies with the 

terms of an FFI Agreement shall be treated as complying with the requirements of, and as not 

subject to withholding under, section 1471 of the U.S. Internal Revenue Code.

2. Suspension of Rules Relating to Non-Consenting U.S. Accounts.

a) Subject to subparagraph 2(b) of this Article, the United States shall not require a

Reporting Austrian Financial Institution to withhold tax under section 1471 or

1472 of the U.S. Internal Revenue Code with respect to an account held by a

recalcitrant account holder (as defined in section 1471(d)(6) of the U.S. Internal 

Revenue Code), or to close such account, if:
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(i) the Reporting Austrian Financial Institution complies with the directives in

paragraph 1 of Article 2 of this Agreement with respect to the account; and

(ii) the Austrian Competent Authority exchanges with the U.S. Competent 

Authority the requested information described in subparagraph 2(a) of Article 

2 of this Agreement within eight months from the date of the receipt of such 

request.

b) If the condition of subparagraph 2(a)(ii) of this Article is not fulfilled, the 

Reporting Austrian Financial Institution shall be required either to immediately 

close the account or to treat the account as held by a recalcitrant account holder as

defined in relevant U.S. Treasury Regulations, including by withholding tax where

required by those U.S. Treasury Regulations, beginning on the date that is eight 

months after the date of the receipt of the request described in subparagraph 2(a) of

Article 2 of this Agreement and ending on the date on which the Austrian 

Competent Authority exchanges the requested information with the U.S. Competent 

Authority.

3. Specific Treatment of Austrian Retirement Plans. The United States shall treat as 

deemed-compliant FFIs or exempt beneficial owners, as appropriate, for purposes of sections

1471 and 1472 of the U.S. Internal Revenue Code, Austrian retirement plans described in

Annex II. For this purpose, an Austrian retirement plan includes an Entity established or

located in, and regulated by, Austria, or a predetermined contractual or legal arrangement,

operated to provide pension or retirement benefits or earn income for providing such benefits 

under the laws of Austria and regulated with respect to contributions, distributions, reporting, 

sponsorship, and taxation.

4. Identification and Treatment of Other Deemed Compliant FFIs and Exempt 

Beneficial Owners. The United States shall treat each Non-Reporting Austrian Financial

Institution as a deemed-compliant FFI or as an exempt beneficial owner, as appropriate, for

purposes of section 1471 of the U.S. Internal Revenue Code.

5. Special Rules Regarding Related Entities and Branches That Are 

Nonparticipating Financial Institutions. If an Austrian Financial Institution, that 

otherwise meets the requirements described in Article 2 of this Agreement or is described in 

paragraph 3 or 4 of this Article, has a Related Entity or branch that operates in a jurisdiction 

that prevents such Related Entity or branch from fulfilling the requirements of a participating 

FFI or deemed-compliant FFI for purposes of section 1471 of the U.S. Internal Revenue Code

or has a Related Entity or branch that is treated as a Nonparticipating Financial Institution 

solely due to the expiration of the transitional rule for limited FFIs and limited branches under 

relevant U.S. Treasury Regulations, such Austrian Financial Institution shall continue to be 

treated as a participating FFI, deemed-compliant FFI, or exempt beneficial owner, as 

appropriate, for purposes of section 1471 of the U.S. Internal Revenue Code, provided that:

a) the Austrian Financial Institution treats each such Related Entity or branch as a

separate Nonparticipating Financial Institution and each such Related Entity or 
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branch identifies itself to withholding agents as a Nonparticipating Financial

Institution;

b) each such Related Entity or branch identifies its U.S. accounts and reports to the 

IRS the information with respect to those accounts as required under section 1471 

of the U.S. Internal Revenue Code to the extent permitted under the relevant laws 

pertaining to the Related Entity or branch; and

c) such Related Entity or branch does not specifically solicit U.S. accounts held by 

persons that are not resident in the jurisdiction where such Related Entity or branch 

is located or accounts held by Nonparticipating Financial Institutions that are not 

established in the jurisdiction where such Related Entity or branch is located, and 

such Related Entity or branch is not used by the Austrian Financial Institution or 

any other Related Entity to circumvent the obligations under this Agreement or

under section 1471 of the U.S. Internal Revenue Code, as appropriate.

6. Coordination of Definitions with U.S. Treasury Regulations. Notwithstanding Article 

1 of this Agreement and the definitions provided in the Annexes to this Agreement, in 

implementing this Agreement, Austria may use, and may permit Austrian Financial Institutions 

to use, a definition in relevant U.S. Treasury Regulations in lieu of a corresponding definition in 

this Agreement, provided that such application would not frustrate the purposes of this 

Agreement.

Article 4

Verification and Enforcement

1. Minor and Administrative Errors. Consistent with the terms of an FFI Agreement, 

the U.S. Competent Authority may make an inquiry directly to a Reporting Austrian Financial

Institution where it has reason to believe that administrative errors or other minor errors may

have led to incorrect or incomplete information reporting inconsistent with the requirements of

an FFI Agreement. The competent authority agreement or arrangement may provide that the 

U.S. Competent Authority would notify the Austrian Competent Authority when the U.S.

Competent Authority makes such an inquiry of a Reporting Austrian Financial Institution 

regarding the Reporting Austrian Financial Institution’s compliance with the conditions set 

forth in this Agreement.

2. Significant Non-Compliance. The U.S. Competent Authority shall notify the Austrian 

Competent Authority when the U.S. Competent Authority has determined that there is

significant non-compliance with the requirements of an FFI Agreement or this Agreement with 

respect to a Reporting Austrian Financial Institution. If the non-compliance is not resolved 

within a period of 12 months after notification of significant non-compliance is first provided 

by the U.S. Competent Authority, the United States shall treat the Reporting Austrian Financial

Institution as a Nonparticipating Financial Institution pursuant to this paragraph 2.

3. Competent Authority Agreement or Arrangement. The Competent Authorities of

Austria and the United States shall enter into an agreement or arrangement under the mutual 

agreement procedure provided for in Article 24 of the Convention which shall:
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a) establish the procedures for the exchange of information described in paragraph 2 of

Article 2 of this Agreement; and

b) prescribe rules and procedures as may be necessary to implement this Article.

4. Reliance on Third Party Service Providers. In accordance with the provisions of 

an FFI Agreement and relevant U.S. Treasury Regulations, Reporting Austrian Financial

Institutions may use third party service providers to fulfill the requirements of an FFI

Agreement, but these requirements shall remain the responsibility of the Reporting 

Austrian Financial Institutions.

Article 5

Treatment of Passthru

Payments and Gross Proceeds 

The Parties are committed to work together, along with Partner Jurisdictions, to develop a

practical and effective alternative approach to achieve the policy objectives of foreign 

passthru payment and gross proceeds withholding that minimizes burden.

Article 6

Consistency in the Application of FATCA to Partner Jurisdictions

1. Austria shall be granted the benefit of any more favorable terms under Article 3 or

Annex I of this Agreement relating to the application of FATCA to Austrian Financial

Institutions afforded to another Partner Jurisdiction under a signed bilateral agreement pursuant 

to which the other Partner Jurisdiction commits to undertake the same obligations as Austria

described in Article 2 of this Agreement, and subject to the same terms and conditions as 

described therein and in Articles 4, 6, 8, and 9 of this Agreement.

2. The United States shall notify Austria of any such more favorable terms, and such more

favorable terms shall apply automatically under this Agreement as if such terms were specified

in this Agreement and effective as of the date of the entry into force of the agreement 

incorporating the more favorable terms, unless Austria declines the application thereof.

Article 7

Reciprocal Information Exchange

Consistent with its obligations under the Convention, the United States shall continue to 

cooperate with Austria to respond to requests pursuant to the Convention to collect and 

exchange information on accounts held in U.S. financial institutions by residents of Austria. 

In addition, when and to the extent Austria seeks to collaborate with the United States to 

implement FATCA based on direct reporting by Austrian Financial Institutions to Austria,

followed by the transmission of such information to the United States, the United States is

willing to negotiate such an agreement on a reciprocal basis on the same terms and conditions 

as similar agreements concluded with Partner Jurisdictions, subject to the Parties having

determined that the standards of confidentiality and other prerequisites for such cooperation 

are fulfilled.
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Article 8

Consultations and Amendments

1. In case any difficulties in the implementation or interpretation of this Agreement arise, 

either Party may request consultations to develop appropriate measures to ensure the fulfillment 

of this Agreement.

2. This Agreement may be amended by written mutual agreement of the Parties. Unless 

otherwise agreed upon, such an amendment shall enter into force through the same procedures 

as set forth in paragraph 1 of Article 10 of this Agreement.

Article 9

Annexes

The Annexes form an integral part of this Agreement.

Article 10

Term of Agreement

1. This Agreement shall enter into force on the date of Austria’s written notification to the 

United States that Austria has completed its necessary internal procedures for entry into force 

of this Agreement and shall continue in force until terminated.

2. Either Party may terminate this Agreement by giving notice of termination in writing to 

the other Party. Such termination shall become effective on the first day of the month 

following the expiration of a period of 12 months after the date of the notice of termination.

In witness whereof, the undersigned, being duly authorized thereto by their respective

Governments, have signed this Agreement.

Done at _____, in duplicate, in the English and German languages, both texts being equally 

authentic, this __ day of _____, 20__.

FOR THE UNITED STATES OF 

AMERICA:

FOR THE REPUBLIC OF AUSTRIA:
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ANNEX I

DUE DILIGENCE OBLIGATIONS FOR IDENTIFYING AND REPORTING ON U.S. 

ACCOUNTS AND ON PAYMENTS TO CERTAIN NONPARTICIPATING FINANCIAL 

INSTITUTIONS

I. General.

A. Reporting Austrian Financial Institutions must identify U.S. Accounts and 

accounts held by Nonparticipating Financial Institutions in accordance with the due 

diligence procedures contained in this Annex I.

B. For purposes of the Agreement,

1. All dollar amounts are in U.S. dollars and shall be read to include the 

equivalent in other currencies.

2. Except as otherwise provided herein, the balance or value of an account 

shall be determined as of the last day of the calendar year, or in the case of a Cash 

Value Insurance Contract or an Annuity Contract, as of the last day of the calendar 

year or the most recent contract anniversary date.

3. Subject to subparagraph E(1) of section II of this Annex I, an account shall 

be treated as a U.S. Account beginning as of the date it is identified as such 

pursuant to the due diligence procedures in this Annex I.

4. Unless otherwise provided, information with respect to a U.S. Account 

must be reported annually in the calendar year following the year to which the 

information relates.

C. As an alternative to the procedures described in each section of this Annex I, 

Reporting Austrian Financial Institutions may rely on the procedures described in 

relevant U.S. Treasury Regulations to establish whether an account is a U.S. Account or 

an account held by a Nonparticipating Financial Institution, except that if an account is 

treated as held by a recalcitrant account holder under procedures described in relevant 

U.S. Treasury Regulations, such account shall be treated as a U.S. Account for purposes 

of this Agreement. Reporting Austrian Financial Institutions may make such election 

separately for each section of this Annex I either with respect to all relevant Financial 

Accounts or, separately, with respect to any clearly identified group of such accounts

(such as by line of business or the location of where the account is maintained). Except 

as otherwise provided in an FFI Agreement, once a Reporting Austrian Financial

Institution has chosen to rely on the procedures in relevant U.S. Treasury Regulations

with respect to any group of accounts, such Reporting Austrian Financial Institution must 

continue to apply such procedures consistently in all subsequent years, unless there has 

been a material modification to relevant U.S. Treasury Regulations. 
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II. Preexisting Individual Accounts. The following rules and procedures apply for 

purposes of identifying U.S. Accounts among Preexisting Accounts held by individuals 

(“Preexisting Individual Accounts”).

A. Accounts Not Required to Be Reviewed, Identified, or Reported. Unless the 

Reporting Austrian Financial Institution elects otherwise, either with respect to all 

Preexisting Individual Accounts or, separately, with respect to any clearly identified 

group of such accounts, the following Preexisting Individual Accounts are not required to 

be reviewed, identified, or reported as U.S. Accounts:

1. Subject to subparagraph E(2) of this section, a Preexisting Individual 

Account with a balance or value that does not exceed $50,000 as of June 30, 2014.

2. Subject to subparagraph E(2) of this section, a Preexisting Individual 

Account that is a Cash Value Insurance Contract or an Annuity Contract with a 

balance or value of $250,000 or less as of June 30, 2014.

3. A Preexisting Individual Account that is a Cash Value Insurance Contract 

or an Annuity Contract, provided the law or regulations of Austria or the United 

States effectively prevent the sale of such a Cash Value Insurance Contract or an 

Annuity Contract to U.S. residents (e.g., if the relevant Financial Institution does 

not have the required registration under U.S. law, and the law of Austria requires 

reporting or withholding with respect to insurance products held by residents of 

Austria).

4. A Depository Account with a balance of $50,000 or less.

B. Review Procedures for Preexisting Individual Accounts With a Balance or 

Value as of June 30, 2014, that Exceeds $50,000 ($250,000 for a Cash Value 

Insurance Contract or Annuity Contract), But Does Not Exceed $1,000,000 (“Lower 

Value Accounts”).

1. Electronic Record Search. The Reporting Austrian Financial Institution 

must review electronically searchable data maintained by the Reporting Austrian 

Financial Institution for any of the following U.S. indicia:

a) Identification of the Account Holder as a U.S. citizen or resident;

b) Unambiguous indication of a U.S. place of birth;

c) Current U.S. mailing or residence address (including a U.S. post 

office box);

d) Current U.S. telephone number;
3

e) Standing instructions to transfer funds to an account maintained in 

the United States;

f) Currently effective power of attorney or signatory authority granted 

to a person with a U.S. address; or

g) An “in-care-of” or “hold mail” address that is the sole address the 

Reporting Austrian Financial Institution has on file for the Account 

Holder. In the case of a Preexisting Individual Account that is a Lower 

Value Account, an “in-care-of” address outside the United States or “hold 

mail” address shall not be treated as U.S. indicia. 

2. If none of the U.S. indicia listed in subparagraph B(1) of this section are 

discovered in the electronic search, then no further action is required until there is 

a change in circumstances that results in one or more U.S. indicia being associated 

with the account, or the account becomes a High Value Account described in 

paragraph D of this section.

3. If any of the U.S. indicia listed in subparagraph B(1) of this section are 

discovered in the electronic search, or if there is a change in circumstances that 

results in one or more U.S. indicia being associated with the account, then the 

Reporting Austrian Financial Institution must treat the account as a U.S. Account 

unless it elects to apply subparagraph B(4) of this section and one of the 

exceptions in such subparagraph applies with respect to that account.

4. Notwithstanding a finding of U.S. indicia under subparagraph B(1) of this 

section, a Reporting Austrian Financial Institution is not required to treat an 

account as a U.S. Account if:

a) Where the Account Holder information unambiguously indicates a 

U.S. place of birth, the Reporting Austrian Financial Institution obtains, or 

has previously reviewed and maintains a record of:

(1) A self-certification that the Account Holder is neither a U.S. 

citizen nor a U.S. resident for tax purposes (which may be on an 

IRS Form W-8 or other similar agreed form);

(2) A non-U.S. passport or other government-issued 

identification evidencing the Account Holder’s citizenship or 

nationality in a country other than the United States; and

(3) A copy of the Account Holder’s Certificate of Loss of 

Nationality of the United States or a reasonable explanation of: 

(a) The reason the Account Holder does not have such a 

certificate despite relinquishing U.S. citizenship; or
4

(b) The reason the Account Holder did not obtain U.S. 

citizenship at birth.

b) Where the Account Holder information contains a current U.S. 

mailing or residence address, or one or more U.S. telephone numbers 

that are the only telephone numbers associated with the account, the 

Reporting Austrian Financial Institution obtains, or has previously 

reviewed and maintains a record of:

(1) A self-certification that the Account Holder is neither a U.S. 

citizen nor a U.S. resident for tax purposes (which may be on an 

IRS Form W-8 or other similar agreed form); and

(2) Documentary evidence, as defined in paragraph D of section 

VI of this Annex I, establishing the Account Holder’s non-U.S. 

status.

c) Where the Account Holder information contains standing 

instructions to transfer funds to an account maintained in the United 

States, the Reporting Austrian Financial Institution obtains, or has 

previously reviewed and maintains a record of:

(1) A self-certification that the Account Holder is neither a U.S. 

citizen nor a U.S. resident for tax purposes (which may be on an 

IRS Form W-8 or other similar agreed form); and

(2) Documentary evidence, as defined in paragraph D of section 

VI of this Annex I, establishing the Account Holder’s non-U.S. 

status.

d) Where the Account Holder information contains a currently 

effective power of attorney or signatory authority granted to a person 

with a U.S. address, has an “in-care-of” address or “hold mail” address 

that is the sole address identified for the Account Holder, or has one or 

more U.S. telephone numbers (if a non-U.S. telephone number is also 

associated with the account), the Reporting Austrian Financial Institution 

obtains, or has previously reviewed and maintains a record of:

(1) A self-certification that the Account Holder is neither a U.S. 

citizen nor a U.S. resident for tax purposes (which may be on an 

IRS Form W-8 or other similar agreed form); or

(2) Documentary evidence, as defined in paragraph D of section 

VI of this Annex I, establishing the Account Holder’s non-U.S. 

status.
5

C. Additional Procedures Applicable to Preexisting Individual Accounts That 

Are Lower Value Accounts.

1. Review of Preexisting Individual Accounts that are Lower Value Accounts 

for U.S. indicia must be completed by June 30, 2016. 

2. If there is a change of circumstances with respect to a Preexisting 

Individual Account that is a Lower Value Account that results in one or more U.S. 

indicia described in subparagraph B(1) of this section being associated with the 

account, then the Reporting Austrian Financial Institution must treat the account 

as a U.S. Account unless subparagraph B(4) of this section applies.

3. Except for Depository Accounts described in subparagraph A(4) of this 

section, any Preexisting Individual Account that has been identified as a U.S. 

Account under this section shall be treated as a U.S. Account in all subsequent 

years, unless the Account Holder ceases to be a Specified U.S. Person.

D. Enhanced Review Procedures for Preexisting Individual Accounts With a 

Balance or Value That Exceeds $1,000,000 as of June 30, 2014, or December 31 of 

2015 or Any Subsequent Year (“High Value Accounts”).

1. Electronic Record Search. The Reporting Austrian Financial Institution 

must review electronically searchable data maintained by the Reporting Austrian 

Financial Institution for any of the U.S. indicia described in subparagraph B(1) of 

this section.

2. Paper Record Search. If the Reporting Austrian Financial Institution’s 

electronically searchable databases include fields for, and capture all of the 

information described in, subparagraph D(3) of this section, then no further paper 

record search is required. If the electronic databases do not capture all of this 

information, then with respect to a High Value Account, the Reporting Austrian 

Financial Institution must also review the current customer master file and, to the 

extent not contained in the current customer master file, the following documents 

associated with the account and obtained by the Reporting Austrian Financial

Institution within the last five years for any of the U.S. indicia described in 

subparagraph B(1) of this section:

a) The most recent documentary evidence collected with respect to the 

account;

b) The most recent account opening contract or documentation;

c) The most recent documentation obtained by the Reporting Austrian 

Financial Institution pursuant to AML/KYC Procedures or for other 

regulatory purposes;
6

d) Any power of attorney or signature authority forms currently in 

effect; and

e) Any standing instructions to transfer funds currently in effect.

3. Exception Where Databases Contain Sufficient Information. A 

Reporting Austrian Financial Institution is not required to perform the paper 

record search described in subparagraph D(2) of this section if the Reporting 

Austrian Financial Institution’s electronically searchable information includes the 

following:

a) The Account Holder’s nationality or residence status;

b) The Account Holder’s residence address and mailing address 

currently on file with the Reporting Austrian Financial Institution;

c) The Account Holder’s telephone number(s) currently on file, if any, 

with the Reporting Austrian Financial Institution; 

d) Whether there are standing instructions to transfer funds in the 

account to another account (including an account at another branch of the 

Reporting Austrian Financial Institution or another Financial Institution);

e) Whether there is a current “in-care-of” address or “hold mail” 

address for the Account Holder; and

f) Whether there is any power of attorney or signatory authority for 

the account. 

4. Relationship Manager Inquiry for Actual Knowledge. In addition to 

the electronic and paper record searches described above, the Reporting Austrian 

Financial Institution must treat as a U.S. Account any High Value Account 

assigned to a relationship manager (including any Financial Accounts aggregated 

with such High Value Account) if the relationship manager has actual knowledge 

that the Account Holder is a Specified U.S. Person.

5. Effect of Finding U.S. Indicia.

a) If none of the U.S. indicia listed in subparagraph B(1) of this 

section are discovered in the enhanced review of High Value Accounts 

described above, and the account is not identified as held by a Specified 

U.S. Person in subparagraph D(4) of this section, then no further action is 

required until there is a change in circumstances that results in one or 

more U.S. indicia being associated with the account.
7

b) If any of the U.S. indicia listed in subparagraph B(1) of this section 

are discovered in the enhanced review of High Value Accounts described 

above, or if there is a subsequent change in circumstances that results in 

one or more U.S. indicia being associated with the account, then the 

Reporting Austrian Financial Institution must treat the account as a U.S. 

Account unless it elects to apply subparagraph B(4) of this section and one 

of the exceptions in such subparagraph applies with respect to that 

account.

c) Except for Depository Accounts described in subparagraph A(4) of 

this section, any Preexisting Individual Account that has been identified as 

a U.S. Account under this section shall be treated as a U.S. Account in all 

subsequent years, unless the Account Holder ceases to be a Specified U.S. 

Person. 

E. Additional Procedures Applicable to High Value Accounts.

1. If a Preexisting Individual Account is a High Value Account as of June 30, 

2014, the Reporting Austrian Financial Institution must complete the enhanced 

review procedures described in paragraph D of this section with respect to such 

account by June 30, 2015. If based on this review such account is identified as a 

U.S. Account on or before December 31, 2014, the Reporting Austrian Financial

Institution must report the required information about such account with respect to 

2014 in the first report on the account and on an annual basis thereafter. In the 

case of an account identified as a U.S. Account after December 31, 2014, and on 

or before June 30, 2015, the Reporting Austrian Financial Institution is not 

required to report information about such account with respect to 2014, but must 

report information about the account on an annual basis thereafter.

2. If a Preexisting Individual Account is not a High Value Account as of June 

30, 2014, but becomes a High Value Account as of the last day of 2015 or any 

subsequent calendar year, the Reporting Austrian Financial Institution must 

complete the enhanced review procedures described in paragraph D of this section 

with respect to such account within six months after the last day of the calendar 

year in which the account becomes a High Value Account. If based on this review 

such account is identified as a U.S. Account, the Reporting Austrian Financial

Institution must report the required information about such account with respect to 

the year in which it is identified as a U.S. Account and subsequent years on an 

annual basis, unless the Account Holder ceases to be a Specified U.S. Person.

3. Once a Reporting Austrian Financial Institution applies the enhanced 

review procedures described in paragraph D of this section to a High Value 

Account, the Reporting Austrian Financial Institution is not required to re-apply 

such procedures, other than the relationship manager inquiry described in 
8

subparagraph D(4) of this section, to the same High Value Account in any 

subsequent year.

4. If there is a change of circumstances with respect to a High Value Account 

that results in one or more U.S. indicia described in subparagraph B(1) of this 

section being associated with the account, then the Reporting Austrian Financial

Institution must treat the account as a U.S. Account unless it elects to apply 

subparagraph B(4) of this section and one of the exceptions in such subparagraph 

applies with respect to that account.

5. A Reporting Austrian Financial Institution must implement procedures to 

ensure that a relationship manager identifies any change in circumstances of an 

account. For example, if a relationship manager is notified that the Account 

Holder has a new mailing address in the United States, the Reporting Austrian 

Financial Institution is required to treat the new address as a change in 

circumstances and, if it elects to apply subparagraph B(4) of this section, is

required to obtain the appropriate documentation from the Account Holder.

F. Preexisting Individual Accounts That Have Been Documented for Certain 

Other Purposes. A Reporting Austrian Financial Institution that has previously obtained 

documentation from an Account Holder to establish the Account Holder’s status as 

neither a U.S. citizen nor a U.S. resident in order to meet its obligations under a qualified 

intermediary, withholding foreign partnership, or withholding foreign trust agreement 

with the IRS, or to fulfill its obligations under chapter 61 of Title 26 of the United States 

Code, is not required to perform the procedures described in subparagraph B(1) of this 

section with respect to Lower Value Accounts or subparagraphs D(1) through D(3) of this 

section with respect to High Value Accounts.

III. New Individual Accounts. The following rules and procedures apply for purposes of

identifying U.S. Accounts among Financial Accounts held by individuals and opened on or after 

July 1, 2014 (“New Individual Accounts”).

A. Accounts Not Required to Be Reviewed, Identified, or Reported. Unless the 

Reporting Austrian Financial Institution elects otherwise, either with respect to all New 

Individual Accounts or, separately, with respect to any clearly identified group of such 

accounts, the following New Individual Accounts are not required to be reviewed, 

identified, or reported as U.S. Accounts:

1. A Depository Account unless the account balance exceeds $50,000 at the 

end of any calendar year. 

2. A Cash Value Insurance Contract unless the cash value exceeds $50,000 at 

the end of any calendar year. 

B. Other New Individual Accounts. With respect to New Individual Accounts not 

described in paragraph A of this section, upon account opening (or within 90 days after 

the end of the calendar year in which the account ceases to be described in paragraph A of 
9

this section), the Reporting Austrian Financial Institution must obtain a self-certification,

which may be part of the account opening documentation, that allows the Reporting 

Austrian Financial Institution to determine whether the Account Holder is resident in the 

United States for tax purposes (for this purpose, a U.S. citizen is considered to be resident 

in the United States for tax purposes, even if the Account Holder is also a tax resident of 

another jurisdiction) and confirm the reasonableness of such self-certification based on 

the information obtained by the Reporting Austrian Financial Institution in connection 

with the opening of the account, including any documentation collected pursuant to 

AML/KYC Procedures.

1. If the self-certification establishes that the Account Holder is resident in 

the United States for tax purposes, the Reporting Austrian Financial Institution 

must treat the account as a U.S. Account and obtain a self-certification that 

includes the Account Holder’s U.S. TIN (which may be an IRS Form W-9 or other 

similar agreed form).

2. If there is a change of circumstances with respect to a New Individual 

Account that causes the Reporting Austrian Financial Institution to know, or have 

reason to know, that the original self-certification is incorrect or unreliable, the 

Reporting Austrian Financial Institution cannot rely on the original selfcertification and must obtain a valid self-certification that establishes whether the 

Account Holder is a U.S. citizen or resident for U.S. tax purposes. If the 

Reporting Austrian Financial Institution is unable to obtain a valid selfcertification, the Reporting Austrian Financial Institution must treat the account as 

a Non-Consenting U.S. Account.

IV. Preexisting Entity Accounts. The following rules and procedures apply for purposes of 

identifying U.S. Accounts and accounts held by Nonparticipating Financial Institutions among 

Preexisting Accounts held by Entities (“Preexisting Entity Accounts”).

A. Entity Accounts Not Required to Be Reviewed, Identified, or Reported. 

Unless the Reporting Austrian Financial Institution elects otherwise, either with respect to 

all Preexisting Entity Accounts or, separately, with respect to any clearly identified group 

of such accounts, a Preexisting Entity Account with an account balance or value that does

not exceed $250,000 as of June 30, 2014, is not required to be reviewed, identified, or 

reported as a U.S. Account until the account balance or value exceeds $1,000,000. 

B. Entity Accounts Subject to Review. A Preexisting Entity Account that has an 

account balance or value that exceeds $250,000 as of June 30, 2014, and a Preexisting 

Entity Account that does not exceed $250,000 as of June 30, 2014, but the account 

balance or value of which exceeds $1,000,000 as of the last day of 2015 or any 

subsequent calendar year, must be reviewed in accordance with the procedures set forth 

in paragraph D of this section. 

C. Entity Accounts With Respect to Which Reporting Is Required. With respect 

to Preexisting Entity Accounts described in paragraph B of this section, only accounts 
10

that are held by one or more Entities that are Specified U.S. Persons, or by Passive 

NFFEs with one or more Controlling Persons who are U.S. citizens or residents, shall be 

treated as U.S. Accounts. In addition, accounts held by Nonparticipating Financial 

Institutions shall be treated as accounts for which aggregate payments are required to be 

reported under an FFI Agreement.

D. Review Procedures for Identifying Entity Accounts With Respect to Which 

Reporting Is Required. For Preexisting Entity Accounts described in paragraph B of 

this section, the Reporting Austrian Financial Institution must apply the following review 

procedures to determine whether the account is held by one or more Specified U.S. 

Persons, by Passive NFFEs with one or more Controlling Persons who are U.S. citizens 

or residents, or by Nonparticipating Financial Institutions:

1. Determine Whether the Entity Is a Specified U.S. Person.

a) Review information maintained for regulatory or customer 

relationship purposes (including information collected pursuant to 

AML/KYC Procedures) to determine whether the information indicates 

that the Account Holder is a U.S. Person. For this purpose, information 

indicating that the Account Holder is a U.S. Person includes a U.S. place 

of incorporation or organization, or a U.S. address.

b) If the information indicates that the Account Holder is a U.S. 

Person, the Reporting Austrian Financial Institution must treat the account 

as a U.S. Account unless it obtains a self-certification from the Account 

Holder (which may be on an IRS Form W-8 or W-9, or a similar agreed 

form), or reasonably determines based on information in its possession or 

that is publicly available, that the Account Holder is not a Specified U.S. 

Person.

2. Determine Whether a Non-U.S. Entity Is a Financial Institution.

a) Review information maintained for regulatory or customer 

relationship purposes (including information collected pursuant to 

AML/KYC Procedures) to determine whether the information indicates 

that the Account Holder is a Financial Institution.

b) If the information indicates that the Account Holder is a Financial 

Institution, or the Reporting Austrian Financial Institution verifies the 

Account Holder’s Global Intermediary Identification Number on the 

published IRS FFI list, then the account is not a U.S. Account. 
11

3. Determine Whether a Financial Institution Is a Nonparticipating 

Financial Institution Payments to Which Are Subject to Aggregate Reporting 

Consistent with the Requirements of an FFI Agreement.

a) Subject to subparagraph D(3)(b) of this section, a Reporting 

Austrian Financial Institution may determine that the Account Holder is an 

Austrian Financial Institution or other Partner Jurisdiction Financial 

Institution if the Reporting Austrian Financial Institution reasonably 

determines that the Account Holder has such status on the basis of the 

Account Holder’s Global Intermediary Identification Number on the 

published IRS FFI list or other information that is publicly available or in 

the possession of the Reporting Austrian Financial Institution, as 

applicable. In such case, no further review, identification, or reporting is 

required with respect to the account.

b) If the Account Holder is an Austrian Financial Institution or other 

Partner Jurisdiction Financial Institution treated by the IRS as a 

Nonparticipating Financial Institution, then the account is not a U.S. 

Account, but payments to the Account Holder must be reported consistent 

with the requirements of an FFI Agreement.

c) If the Account Holder is not an Austrian Financial Institution or 

other Partner Jurisdiction Financial Institution, then the Reporting 

Austrian Financial Institution must treat the Account Holder as a 

Nonparticipating Financial Institution payments to which are reportable 

consistent with the requirements of an FFI Agreement, unless the 

Reporting Austrian Financial Institution:

(1) Obtains a self-certification (which may be on an IRS Form 

W-8 or similar agreed form) from the Account Holder that it is a 

certified deemed-compliant FFI, or an exempt beneficial owner, as 

those terms are defined in relevant U.S. Treasury Regulations; or

(2) In the case of a participating FFI or registered deemedcompliant FFI, verifies the Account Holder’s Global Intermediary 

Identification Number on the published IRS FFI list.

4. Determine Whether an Account Held by an NFFE Is a U.S. Account. 

With respect to an Account Holder of a Preexisting Entity Account that is not 

identified as either a U.S. Person or a Financial Institution, the Reporting Austrian 

Financial Institution must identify (i) whether the Account Holder has Controlling 

Persons, (ii) whether the Account Holder is a Passive NFFE, and (iii) whether any 

of the Controlling Persons of the Account Holder is a U.S. citizen or resident. In 

making these determinations the Reporting Austrian Financial Institution must

follow the guidance in subparagraphs D(4)(a) through D(4)(d) of this section in 

the order most appropriate under the circumstances.
12

a) For purposes of determining the Controlling Persons of an Account 

Holder, a Reporting Austrian Financial Institution may rely on information 

collected and maintained pursuant to AML/KYC Procedures.

b) For purposes of determining whether the Account Holder is a 

Passive NFFE, the Reporting Austrian Financial Institution must obtain a 

self-certification (which may be on an IRS Form W-8 or W-9, or on a 

similar agreed form) from the Account Holder to establish its status, unless 

it has information in its possession or that is publicly available, based on 

which it can reasonably determine that the Account Holder is an Active 

NFFE.

c) For purposes of determining whether a Controlling Person of a 

Passive NFFE is a U.S. citizen or resident for tax purposes, a Reporting 

Austrian Financial Institution may rely on: 

(1) Information collected and maintained pursuant to 

AML/KYC Procedures in the case of a Preexisting Entity Account 

held by one or more NFFEs with an account balance or value that 

does not exceed $1,000,000; or

(2) A self-certification (which may be on an IRS Form W-8 or 

W-9, or on a similar agreed form) from the Account Holder or such 

Controlling Person in the case of a Preexisting Entity Account held 

by one or more NFFEs with an account balance or value that 

exceeds $1,000,000. 

d) If any Controlling Person of a Passive NFFE is a U.S. citizen or 

resident, the account shall be treated as a U.S. Account.

E. Timing of Review and Additional Procedures Applicable to Preexisting Entity 

Accounts.

1. Review of Preexisting Entity Accounts with an account balance or value 

that exceeds $250,000 as of June 30, 2014 must be completed by June 30, 2016.

2. Review of Preexisting Entity Accounts with an account balance or value 

that does not exceed $250,000 as of June 30, 2014, but exceeds $1,000,000 as of 

December 31 of 2015 or any subsequent year, must be completed within six 

months after the last day of the calendar year in which the account balance or 

value exceeds $1,000,000.

3. If there is a change of circumstances with respect to a Preexisting Entity 

Account that causes the Reporting Austrian Financial Institution to know, or have 

reason to know, that the self-certification or other documentation associated with 
13

an account is incorrect or unreliable, the Reporting Austrian Financial Institution 

must redetermine the status of the account in accordance with the procedures set 

forth in paragraph D of this section.

V. New Entity Accounts. The following rules and procedures apply for purposes of 

identifying U.S. Accounts and accounts held by Nonparticipating Financial Institutions among

Financial Accounts held by Entities and opened on or after July 1, 2014 (“New Entity 

Accounts”). 

A. Entity Accounts Not Required to Be Reviewed, Identified or Reported. 

Unless the Reporting Austrian Financial Institution elects otherwise, either with respect to 

all New Entity Accounts or, separately, with respect to any clearly identified group of 

such accounts, a credit card account or a revolving credit facility treated as a New Entity 

Account is not required to be reviewed, identified, or reported, provided that the 

Reporting Austrian Financial Institution maintaining such account implements policies 

and procedures to prevent an account balance owed to the Account Holder that exceeds 

$50,000.

B. Other New Entity Accounts. With respect to New Entity Accounts not described 

in paragraph A of this section, the Reporting Austrian Financial Institution must 

determine whether the Account Holder is: (i) a Specified U.S. Person; (ii) an Austrian 

Financial Institution or other Partner Jurisdiction Financial Institution; (iii) a participating 

FFI, a deemed-compliant FFI, or an exempt beneficial owner, as those terms are defined 

in relevant U.S. Treasury Regulations; or (iv) an Active NFFE or Passive NFFE. 

1. Subject to subparagraph B(2) of this section, a Reporting Austrian 

Financial Institution may determine that the Account Holder is an Active NFFE, 

an Austrian Financial Institution, or other Partner Jurisdiction Financial Institution 

if the Reporting Austrian Financial Institution reasonably determines that the 

Account Holder has such status on the basis of the Account Holder’s Global 

Intermediary Identification Number or other information that is publicly available 

or in the possession of the Reporting Austrian Financial Institution, as applicable. 

2. If the Account Holder is an Austrian Financial Institution or other Partner 

Jurisdiction Financial Institution treated by the IRS as a Nonparticipating 

Financial Institution, then the account is not a U.S. Account, but payments to the 

Account Holder must be reported consistent with the requirements of an FFI 

Agreement.

3. In all other cases, a Reporting Austrian Financial Institution must obtain a 

self-certification from the Account Holder to establish the Account Holder’s 

status. Based on the self-certification, the following rules apply:

a) If the Account Holder is a Specified U.S. Person, the Reporting 

Austrian Financial Institution must treat the account as a U.S. Account.
14

b) If the Account Holder is a Passive NFFE, the Reporting Austrian 

Financial Institution must identify the Controlling Persons as determined 

under AML/KYC Procedures, and must determine whether any such 

person is a U.S. citizen or resident on the basis of a self-certification from 

the Account Holder or such person. If any such person is a U.S. citizen or 

resident, the Reporting Austrian Financial Institution must treat the 

account as a U.S. Account.

c) If the Account Holder is: (i) a U.S. Person that is not a Specified 

U.S. Person; (ii) subject to subparagraph B(3)(d) of this section, an 

Austrian Financial Institution or other Partner Jurisdiction Financial 

Institution; (iii) a participating FFI, a deemed-compliant FFI, or an exempt 

beneficial owner, as those terms are defined in relevant U.S. Treasury 

Regulations; (iv) an Active NFFE; or (v) a Passive NFFE none of the 

Controlling Persons of which is a U.S. citizen or resident, then the account 

is not a U.S. Account, and no reporting is required with respect to the 

account.

d) If the Account Holder is a Nonparticipating Financial Institution 

(including an Austrian Financial Institution or other Partner Jurisdiction 

Financial Institution treated by the IRS as a Nonparticipating Financial 

Institution), then the account is not a U.S. Account, but payments to the 

Account Holder must be reported consistent with the requirements of an

FFI Agreement.

VI. Special Rules and Definitions. The following additional rules and definitions apply in 

implementing the due diligence procedures described above:

A. Reliance on Self-Certifications and Documentary Evidence. A Reporting 

Austrian Financial Institution may not rely on a self-certification or documentary 

evidence if the Reporting Austrian Financial Institution knows or has reason to know that 

the self-certification or documentary evidence is incorrect or unreliable.

B. Definitions. The following definitions apply for purposes of this Annex I.

1. AML/KYC Procedures. “AML/KYC Procedures” means the customer 

due diligence procedures of a Reporting Austrian Financial Institution pursuant to 

the anti-money laundering or similar requirements of Austria to which such 

Reporting Austrian Financial Institution is subject.

2. NFFE. An “NFFE” means any Non-U.S. Entity that is not an FFI as 

defined in relevant U.S. Treasury Regulations or is an Entity described in 

subparagraph B(4)(j) of this section, and also includes any Non-U.S. Entity that is 

established in Austria or another Partner Jurisdiction and that is not a Financial 

Institution.
15

3. Passive NFFE. A “Passive NFFE” means any NFFE that is not (i) an 

Active NFFE, or (ii) a withholding foreign partnership or withholding foreign 

trust pursuant to relevant U.S. Treasury Regulations.

4. Active NFFE. An “Active NFFE” means any NFFE that meets any of the 

following criteria:

a) Less than 50 percent of the NFFE’s gross income for the preceding 

calendar year or other appropriate reporting period is passive income and 

less than 50 percent of the assets held by the NFFE during the preceding 

calendar year or other appropriate reporting period are assets that produce 

or are held for the production of passive income;

b) The stock of the NFFE is regularly traded on an established 

securities market or the NFFE is a Related Entity of an Entity the stock of 

which is regularly traded on an established securities market. For purposes 

of this Agreement, interests are “regularly traded” if there is a meaningful 

volume of trading with respect to the interests on an ongoing basis, and an 

“established securities market” means an exchange that is officially 

recognized and supervised by a governmental authority in which the 

market is located and that has a meaningful annual value of shares traded 

on the exchange;

c) The NFFE is organized in a U.S. Territory and all of the owners of 

the payee are bona fide residents of that U.S. Territory;

d) The NFFE is a government (other than the U.S. government), a 

political subdivision of such government (which, for the avoidance of 

doubt, includes a state, province, county, or municipality), or a public body 

performing a function of such government or a political subdivision 

thereof, a government of a U.S. Territory, an international organization, a 

non-U.S. central bank of issue, or an Entity wholly owned by one or more 

of the foregoing; 

e) Substantially all of the activities of the NFFE consist of holding (in 

whole or in part) the outstanding stock of, or providing financing and 

services to, one or more subsidiaries that engage in trades or businesses 

other than the business of a Financial Institution, except that an NFFE shall 

not qualify for this status if the NFFE functions (or holds itself out) as an 

investment fund, such as a private equity fund, venture capital fund, 

leveraged buyout fund, or any investment vehicle whose purpose is to 

acquire or fund companies and then hold interests in those companies as 

capital assets for investment purposes;

f) The NFFE is not yet operating a business and has no prior operating 

history, but is investing capital into assets with the intent to operate a 

business other than that of a Financial Institution, provided that the NFFE 
16

shall not qualify for this exception after the date that is 24 months after the 

date of the initial organization of the NFFE;

g) The NFFE was not a Financial Institution in the past five years, and 

is in the process of liquidating its assets or is reorganizing with the intent 

to continue or recommence operations in a business other than that of a 

Financial Institution;

h) The NFFE primarily engages in financing and hedging transactions 

with, or for, Related Entities that are not Financial Institutions, and does 

not provide financing or hedging services to any Entity that is not a 

Related Entity, provided that the group of any such Related Entities is 

primarily engaged in a business other than that of a Financial Institution; 

i) The NFFE is an “excepted NFFE” as described in relevant U.S. 

Treasury Regulations; or 

j) The NFFE meets all of the following requirements:

i. It is established and operated in its jurisdiction of residence 

exclusively for religious, charitable, scientific, artistic, cultural,

athletic, or educational purposes; or it is established and operated 

in its jurisdiction of residence and it is a professional organization, 

business league, chamber of commerce, labor organization, 

agricultural or horticultural organization, civic league or an

organization operated exclusively for the promotion of social 

welfare;

ii. It is exempt from income tax in its jurisdiction of residence; 

iii. It has no shareholders or members who have a proprietary or 

beneficial interest in its income or assets;

iv. The applicable laws of the NFFE’s jurisdiction of residence 

or the NFFE’s formation documents do not permit any income or 

assets of the NFFE to be distributed to, or applied for the benefit 

of, a private person or non-charitable Entity other than pursuant to 

the conduct of the NFFE’s charitable activities, or as payment of 

reasonable compensation for services rendered, or as payment 

representing the fair market value of property which the NFFE has 

purchased; and

v. The applicable laws of the NFFE’s jurisdiction of residence 

or the NFFE’s formation documents require that, upon the NFFE’s 

liquidation or dissolution, all of its assets be distributed to a 

governmental entity or other non-profit organization, or escheat to 
17

the government of the NFFE’s jurisdiction of residence or any 

political subdivision thereof.

5. Preexisting Account. A “Preexisting Account” means a Financial 

Account maintained by a Reporting Austrian Financial Institution as of 

June 30, 2014.

C. Account Balance Aggregation and Currency Translation Rules.

1. Aggregation of Individual Accounts. For purposes of determining the 

aggregate balance or value of Financial Accounts held by an individual, a 

Reporting Austrian Financial Institution is required to aggregate all Financial 

Accounts maintained by the Reporting Austrian Financial Institution, or by a 

Related Entity, but only to the extent that the Reporting Austrian Financial

Institution’s computerized systems link the Financial Accounts by reference to a 

data element such as client number or taxpayer identification number, and allow 

account balances or values to be aggregated. Each holder of a jointly held 

Financial Account shall be attributed the entire balance or value of the jointly held 

Financial Account for purposes of applying the aggregation requirements 

described in this paragraph 1.

2. Aggregation of Entity Accounts. For purposes of determining the 

aggregate balance or value of Financial Accounts held by an Entity, a Reporting 

Austrian Financial Institution is required to take into account all Financial 

Accounts that are maintained by the Reporting Austrian Financial Institution, or 

by a Related Entity, but only to the extent that the Reporting Austrian Financial

Institution’s computerized systems link the Financial Accounts by reference to a 

data element such as client number or taxpayer identification number, and allow 

account balances or values to be aggregated.

3. Special Aggregation Rule Applicable to Relationship Managers. For 

purposes of determining the aggregate balance or value of Financial Accounts 

held by a person to determine whether a Financial Account is a High Value 

Account, a Reporting Austrian Financial Institution is also required, in the case of 

any Financial Accounts that a relationship manager knows, or has reason to know,

are directly or indirectly owned, controlled, or established (other than in a 

fiduciary capacity) by the same person, to aggregate all such accounts.

4. Currency Translation Rule. For purposes of determining the balance or 

value of Financial Accounts denominated in a currency other than the U.S. dollar, 

a Reporting Austrian Financial Institution must convert the U.S. dollar threshold 

amounts described in this Annex I into such currency using a published spot rate 

determined as of the last day of the calendar year preceding the year in which the 

Reporting Austrian Financial Institution is determining the balance or value.

D. Documentary Evidence. For purposes of this Annex I, acceptable documentary 

evidence includes any of the following:
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1. A certificate of residence issued by an authorized government body (for 

example, a government or agency thereof, or a municipality) of the jurisdiction in 

which the payee claims to be a resident.

2. With respect to an individual, any valid identification issued by an 

authorized government body (for example, a government or agency thereof, or a 

municipality), that includes the individual’s name and is typically used for 

identification purposes.

3. With respect to an Entity, any official documentation issued by an 

authorized government body (for example, a government or agency thereof, or a 

municipality) that includes the name of the Entity and either the address of its 

principal office in the jurisdiction (or U.S. Territory) in which it claims to be a 

resident or the jurisdiction (or U.S. Territory) in which the Entity was incorporated 

or organized.

4. With respect to a Financial Account maintained in a jurisdiction with antimoney laundering rules that have been approved by the IRS in connection with a 

QI agreement (as described in relevant U.S. Treasury Regulations), any of the 

documents, other than a Form W-8 or W-9, referenced in the jurisdiction’s 

attachment to the QI agreement for identifying individuals or Entities.

5. Any financial statement, third-party credit report, bankruptcy filing, or 

U.S. Securities and Exchange Commission report.

E. Alternative Procedures for Financial Accounts Held by Individual 

Beneficiaries of a Cash Value Insurance Contract. A Reporting Austrian Financial

Institution may presume that an individual beneficiary (other than the owner) of a Cash 

Value Insurance Contract receiving a death benefit is not a Specified U.S. Person and 

may treat such Financial Account as other than a U.S. Account unless the Reporting 

Austrian Financial Institution has actual knowledge, or reason to know, that the 

beneficiary is a Specified U.S. Person. A Reporting Austrian Financial Institution has 

reason to know that a beneficiary of a Cash Value Insurance Contract is a Specified U.S. 

Person if the information collected by the Reporting Austrian Financial Institution and 

associated with the beneficiary contains U.S. indicia as described in subparagraph (B)(1) 

of section II of this Annex I. If a Reporting Austrian Financial Institution has actual 

knowledge, or reason to know, that the beneficiary is a Specified U.S. Person, the 

Reporting Austrian Financial Institution must follow the procedures in subparagraph B(3) 

of section II of this Annex I.

F. Reliance on Third Parties. Regardless of whether an election is made under 

paragraph C of section I of this Annex I, Reporting Austrian Financial Institutions may

rely on due diligence procedures performed by third parties, to the extent provided in an 

FFI Agreement and relevant U.S. Treasury Regulations.
1

Annex II

The following Entities shall be treated as exempt beneficial owners or deemed-compliant FFIs, 

as the case may be, and the following accounts are excluded from the definition of Financial 

Accounts.

This Annex II may be modified by a mutual written decision entered into between the Competent 

Authorities of Austria and the United States: (1) to include additional Entities and accounts that 

present a low risk of being used by U.S. Persons to evade U.S. tax and that have similar 

characteristics to the Entities and accounts described in this Annex II as of the date of signature

of the Agreement; or (2) to remove Entities and accounts that, due to changes in circumstances, 

no longer present a low risk of being used by U.S. Persons to evade U.S. tax. Any such addition 

or removal shall be effective on the date of signature of the mutual decision, unless otherwise 

provided therein. Procedures for reaching such a mutual decision may be included in the mutual 

agreement or arrangement described in paragraph 3 of Article 4 of the Agreement.

I. Exempt Beneficial Owners other than Funds. The following Entities shall be treated as 

Non-Reporting Austrian Financial Institutions and as exempt beneficial owners for purposes 

of sections 1471 and 1472 of the U.S. Internal Revenue Code, other than with respect to a 

payment that is derived from an obligation held in connection with a commercial financial 

activity of a type engaged in by a Specified Insurance Company, Custodial Institution, or 

Depository Institution.

A. Governmental Entity. The government of Austria, any political subdivision of Austria

(which, for the avoidance of doubt, includes a state, province, county, or municipality), or 

any wholly owned agency or instrumentality of Austria or any one or more of the 

foregoing (each, an “Austrian Governmental Entity”). This category is comprised of the 

integral parts, controlled entities, and political subdivisions of Austria.

1. An integral part of Austria means any person, organization, agency, bureau, fund, 

instrumentality, or other body, however designated, that constitutes a governing 

authority of Austria. The net earnings of the governing authority must be credited to 

its own account or to other accounts of Austria, with no portion inuring to the benefit 

of any private person. An integral part does not include any individual who is a 

sovereign, official, or administrator acting in a private or personal capacity. 

2. A controlled entity means an Entity that is separate in form from Austria or that 

otherwise constitutes a separate juridical entity, provided that:

a) The Entity is wholly owned and controlled by one or more Austrian

Governmental Entities directly or through one or more controlled entities; 

b) The Entity’s net earnings are credited to its own account or to the accounts of one 

or more Austrian Governmental Entities, with no portion of its income inuring to 

the benefit of any private person; and 
2

c) The Entity’s assets vest in one or more Austrian Governmental Entities upon 

dissolution. 

3. Income does not inure to the benefit of private personsif such persons are the 

intended beneficiaries of a governmental program, and the program activities are 

performed for the general public with respect to the common welfare or relate to the 

administration of some phase of government. Notwithstanding the foregoing, 

however, income is considered to inure to the benefit of private persons if the income 

is derived from the use of a governmental entity to conduct a commercial business, 

such as a commercial banking business, that provides financial services to private 

persons.

B. International Organization. Any international organization or wholly owned agency or 

instrumentality thereof. This category includes any intergovernmental organization 

(including a supranational organization) (1) that is comprised primarily of non-U.S.

governments; (2) that has in effect a headquarters agreement with Austria; and (3) the

income of which does not inure to the benefit of private persons.

C. Central Bank. The Central Bank of Austria.

D. The Development Bank of Austria (Oesterreichische Entwicklungsbank AG – OeEB).

E. The Austrian Export Fund (Oesterreichischer Exportfonds GmbH – Exportfonds).

II. Funds that Qualify as Exempt Beneficial Owners. The following Entities shall be treated 

as Non-Reporting Austrian Financial Institutions and as exempt beneficial owners for 

purposes of sections 1471 and 1472 of the U.S. Internal Revenue Code.

A. Treaty-Qualified Retirement Fund. A fund established in Austria, provided that the

fund is entitled to benefits under an income tax treaty between Austria and the United 

States on income that it derives from sources within the United States (or would be 

entitled to such benefits if it derived any such income) as a resident of Austria that 

satisfies any applicable limitation on benefits requirement, and is operated principally to 

administer or provide pension or retirement benefits.

B. Broad Participation Retirement Fund. A fund established in Austria to provide 

retirement, disability, or death benefits, or any combination thereof, to beneficiaries that 

are current or former employees (or persons designated by such employees) of one or 

more employers in consideration for services rendered, provided that the fund:

1. Does not have a single beneficiary with a right to more than five percent of the fund’s 

assets; 

2. Is subject to government regulation and provides information reporting about its 

beneficiaries to the relevant authorities in Austria; and 
3

3. Satisfies at least one of the following requirements:

a) The fund is generally exempt from tax in Austria on investment income under the 

laws of Austria due to its status as a retirement or pension plan; 

b) The fund receives at least 50 percent of its total contributions (other than transfers 

of assets from other plans described in paragraphs A through D of this section or 

from retirement and pension accounts described in subparagraph A(1) of section 

V of this Annex II) from the sponsoring employers; 

c) Distributions or withdrawals from the fund are allowed only upon the occurrence 

of specified events related to retirement, disability, or death (except rollover 

distributions to other retirement funds described in paragraphs A through D of this 

section or retirement and pension accounts described in subparagraph A(1) of 

section V of this Annex II), or penalties apply to distributions or withdrawals 

made before such specified events; or

d) Contributions (other than certain permitted make-up contributions) by employees 

to the fund are limited by reference to earned income of the employee or may not 

exceed $50,000 annually, applying the rules set forth in Annex I for account 

aggregation and currency translation.

C. Narrow Participation Retirement Fund. A fund established in Austria to provide 

retirement, disability, or death benefits to beneficiaries that are current or former 

employees (or persons designated by such employees) of one or more employers in 

consideration for services rendered, provided that:

1. The fund has fewer than 50 participants; 

2. The fund is sponsored by one or more employers that are not Investment Entities or 

Passive NFFEs; 

3. The employee and employer contributions to the fund (other than transfers of assets 

from treaty-qualified retirement funds described in paragraph A of this section or 

retirement and pension accounts described in subparagraph A(1) of section V of this 

Annex II) are limited by reference to earned income and compensation of the 

employee, respectively; 

4. Participants that are not residents of Austria are not entitled to more than 20 percent 

of the fund’s assets; and 

5. The fund is subject to government regulation and provides annual information 

reporting about its beneficiaries to the relevant authorities in Austria.

D. Pension Fund of an Exempt Beneficial Owner. A fund established in Austria by an 

exempt beneficial owner to provide retirement, disability, or death benefits to 
4

beneficiaries or participants that are current or former employees of the exempt beneficial 

owner (or persons designated by such employees), or that are not current or former 

employees, if the benefits provided to such beneficiaries or participants are in 

consideration of personal services performed for the exempt beneficial owner.

E. Investment Entity Wholly Owned by Exempt Beneficial Owners. An Entity that is an 

Austrian Financial Institution solely because it is an Investment Entity, provided that

each direct holder of an Equity Interest in the Entity is an exempt beneficial owner, and 

each direct holder of a debt interest in such Entity is either a Depository Institution (with 

respect to a loan made to such Entity) or an exempt beneficial owner.

F. Staff Provision Funds (Betriebliche Vorsorgekassen). An entity administering

severance payments and occupational provision payments established under the 

Corporate Staff and Self-Employment Provision Act (Betriebliches Mitarbeiter- und 

Selbständigenvorsorgegesetz).

G. Pension Funds (Pensionskassen). A pension fund and any other organisation established 

under the Pension Companies Act (Pensionskassengesetz) and maintained exclusively to 

administer or provide retirement or employee benefits.

III. Small or Limited Scope Financial Institutions that Qualify as Deemed-Compliant FFIs.

The following Financial Institutions are Non-Reporting Austrian Financial Institutions that 

shall be treated as registered deemed-compliant FFIs or certified deemed-compliant FFIs, as 

the case may be, for purposes of section 1471 of the U.S. Internal Revenue Code.

A. Registered Financial Institution with a Local Client Base. A Financial Institution 

satisfying the following requirements is a Non-Reporting Austrian Financial Institution 

treated as a registered deemed-compliant FFI for purposes of section 1471 of the U.S. 

Internal Revenue Code:

1. The Financial Institution must be licensed and regulated as a financial institution 

under the laws of Austria; 

2. The Financial Institution must have no fixed place of business outside of Austria. For 

this purpose, a fixed place of business does not include a location that is not 

advertised to the public and from which the Financial Institution performs solely 

administrative support functions;

3. The Financial Institution must not solicit customers or Account Holders outside 

Austria. For this purpose, a Financial Institution shall not be considered to have 

solicited customers or Account Holders outside Austria merely because the Financial 

Institution (a) operates a website, provided that the website does not specifically 

indicate that the Financial Institution provides Financial Accounts or services to 

nonresidents, and does not otherwise target or solicit U.S. customers or Account 

Holders, or (b) advertises in print media or on a radio or television station that is 

distributed or aired primarily within Austria but is also incidentally distributed or 

aired in other countries, provided that the advertisement does not specifically indicate 
5

that the Financial Institution provides Financial Accounts or services to nonresidents, 

and does not otherwise target or solicit U.S. customers or Account Holders;

4. The Financial Institution must be required under the laws of Austria to identify 

resident Account Holders for purposes of either information reporting or withholding 

of tax with respect to Financial Accounts held by residents or for purposes of 

satisfying Austria’s AML due diligence requirements;

5. At least 98 percent of the Financial Accounts by value maintained by the Financial 

Institution as of the last day of the preceding calendar year must be held by residents 

(including residents that are Entities) of Austria, Switzerland, Liechtenstein, or a 

Member State of the European Union;

6. Beginning on or before July 1, 2014, the Financial Institution must have policies and 

procedures, consistent with those set forth in Annex I, to prevent the Financial 

Institution from providing a Financial Account to any Nonparticipating Financial 

Institution and to monitor whether the Financial Institution opens or maintains a 

Financial Account for any Specified U.S. Person who is not a resident of Austria

(including a U.S. Person that was a resident of Austria when the Financial Account 

was opened but subsequently ceases to be a resident of Austria) or any Passive NFFE 

with Controlling Persons who are U.S. residents or U.S. citizens who are not residents 

of Austria; 

7. Such policies and procedures must provide that if any Financial Account held by a 

Specified U.S. Person who is not a resident of Austria or by a Passive NFFE with 

Controlling Persons who are U.S. residents or U.S. citizens who are not residents of 

Austria is identified, the Financial Institution must report such Financial Account as 

would be required if the Financial Institution were a Reporting Austrian Financial

Institution or close such Financial Account;

8. With respect to a Preexisting Account held by an individual who is not a resident of 

Austria or by an Entity, the Financial Institution must review those Preexisting 

Accounts in accordance with the procedures set forth in Annex I applicable to 

Preexisting Accounts to identify any U.S. Account or Financial Account held by a 

Nonparticipating Financial Institution, and must report such Financial Account as 

would be required if the Financial Institution were a Reporting Austrian Financial

Institution or close such Financial Account;

9. Each Related Entity of the Financial Institution that is a Financial Institution must be 

incorporated or organized in Austria and, with the exception of any Related Entity

that is a retirement fund described in paragraphs A through D of section II of this 

Annex II, satisfy the requirements set forth in this paragraph A; 

10. The Financial Institution must not have policies or practices that discriminate against

opening or maintaining Financial Accounts for individuals who are Specified U.S.

Persons and residents of Austria; and
6

11. The Financial Institution must satisfy the requirements set forth in paragraph C of 

section VI of this Annex II.

B. Local Bank. A Financial Institution satisfying the following requirements is a NonReporting Austrian Financial Institution treated as a certified deemed-compliant FFI for 

purposes of section 1471 of the U.S. Internal Revenue Code:

1. The Financial Institution operates solely as (and is licensed and regulated under the 

laws of Austria as) (a) a bank or (b) a credit union or similar cooperative credit 

organization that is operated without profit;

2. The Financial Institution’s business consists primarily of receiving deposits from and 

making loans to, with respect to a bank, unrelated retail customers and, with respect 

to a credit union or similar cooperative credit organization, members, provided that 

no member has a greater than five percent interest in such credit union or cooperative 

credit organization;

3. The Financial Institution satisfies the requirements set forth in subparagraphs A(2)

and A(3) of this section, provided that, in addition to the limitations on the website 

described in subparagraph A(3) of this section, the website does not permit the 

opening of a Financial Account;

4. The Financial Institution does not have more than $175 million in assets on its 

balance sheet, and the Financial Institution and any Related Entities, taken together, 

do not have more than $500 million in total assets on their consolidated or combined 

balance sheets; and

5. Any Related Entity must be incorporated or organized in Austria, and any Related 

Entity that is a Financial Institution, with the exception of any Related Entity that is 

a retirement fund described in paragraphs A through D of section II of this Annex II

or a Financial Institution with only low-value accounts described in paragraph C of 

this section, must satisfy the requirements set forth in this paragraph B. 

C. Financial Institution with Only Low-Value Accounts. An Austrian Financial

Institution satisfying the following requirements is a Non-Reporting Austrian Financial

Institution treated as a certified deemed-compliant FFI for purposes of section 1471 of 

the U.S. Internal Revenue Code:

1. The Financial Institution is not an Investment Entity;

2. No Financial Account maintained by the Financial Institution or any Related Entity

has a balance or value in excess of $50,000, applying the rules set forth in Annex I 

for account aggregation and currency translation; and 
7

3. The Financial Institution does not have more than $50 million in assets on its 

balance sheet, and the Financial Institution and any Related Entities, taken together, 

do not have more than $50 million in total assets on their consolidated or combined 

balance sheets. 

D. Registered Qualified Credit Card Issuer. An Austrian Financial Institution satisfying 

the following requirements is a Non-Reporting Austrian Financial Institution treated as a 

registered deemed-compliant FFI for purposes of section 1471 of the U.S. Internal 

Revenue Code:

1. The Financial Institution is a Financial Institution solely because it is an issuer of 

credit cards that accepts deposits only when a customer makes a payment in excess of 

a balance due with respect to the card and the overpayment is not immediately 

returned to the customer; 

2. Beginning on or before July 1, 2014, the Financial Institution implements policies and 

procedures to either prevent a customer deposit in excess of $50,000, or to ensure that 

any customer deposit in excess of $50,000, in each case applying the rules set forth in 

Annex I for account aggregation and currency translation, is refunded to the 

customer within 60 days. For this purpose, a customer deposit does not refer to credit 

balances to the extent of disputed charges but does include credit balances resulting 

from merchandise returns; and

3. The Financial Institution must satisfy the requirements set forth in paragraph C of 

section VI of this Annex II.

E. Financial Institutions Regulated under Specific Austrian Laws. The following types 

of financial institution established in Austria, regulated under Austrian laws, and 

supervised by Austrian authorities, are treated as certified deemed-compliant FFIs for 

purposes of section 1471 of the U.S. Internal Revenue Code:

1. Home Savings Banks (Bausparkassen) described in the Home Savings Bank Act

(Bundesgesetz über die Beaufsichtigung und den Betrieb von Bausparkassen);

2. Housing Construction Banks (Wohnbaubanken) described in the Act on Special Tax 

Measures for the Promotion of Housing Construction (Bundesgesetz über steuerliche 

Sondermaßnahmen zur Förderung des Wohnbaus);

3. “Pfandbriefstelle” described in the “Pfandbriefstelle” Act (Bundesgesetz über die 

Pfandbriefstelle der österreichischen Landes-Hypothekenbanken); 

IV. Investment Entities that Qualify as Deemed-Compliant FFIs and Other Special Rules.

The Financial Institutions described in paragraphs A through E of this section are NonReporting Austrian Financial Institutions that shall be treated as registered deemed-compliant 

FFIs or certified deemed-compliant FFIs, as the case may be, for purposes of section 1471 of 

the U.S. Internal Revenue Code. In addition, paragraph F of this section provides special 

rules applicable to an Investment Entity. 
8

A. Trustee-Documented Trust. A trust established under the laws of Austria to the extent 

that the trustee of the trust is a Reporting U.S. Financial Institution, Reporting Model 1 

FFI, or Participating FFI and reports all information required to be reported pursuant to 

the Agreement with respect to all U.S. Accounts of the trust. Such a trust is a NonReporting Austrian Financial Institution treated as a certified deemed-compliant FFI for 

purposes of section 1471 of the U.S. Internal Revenue Code. For the purposes of this 

paragraph, the term “trust” shall include private foundations established under Austrian 

law for the primary purpose of protecting or conserving the property of the foundation on 

behalf of beneficiaries. The term “trustee” shall include the members of the foundation 

board.

B. Registered Sponsored Investment Entity and Controlled Foreign Corporation. A

Financial Institution described in subparagraph B(1) or B(2) of this section having a 

sponsoring entity that complies with the requirements of subparagraph B(3) of this 

section is a Non-Reporting Austrian Financial Institution treated as a registered deemedcompliant FFI for purposes of section 1471 of the U.S. Internal Revenue Code. 

1. A Financial Institution is a sponsored investment entity if (a) it is an Investment

Entity established in Austria that is not a qualified intermediary, withholding foreign 

partnership, or withholding foreign trust pursuant to relevant U.S. Treasury 

Regulations; and (b) an Entity has agreed with the Financial Institution to act as a 

sponsoring entity for the Financial Institution. 

2. A Financial Institution is a sponsored controlled foreign corporation if (a) the 

Financial Institution is a controlled foreign corporation1 organized under the laws of 

Austria that is not a qualified intermediary, withholding foreign partnership, or

withholding foreign trust pursuant to relevant U.S. Treasury Regulations; (b) the 

Financial Institution is wholly owned, directly or indirectly, by a Reporting U.S. 

Financial Institution that agrees to act, or requires an affiliate of the Financial 

Institution to act, as a sponsoring entity for the Financial Institution; and (c) the 

Financial Institution shares a common electronic account system with the sponsoring 

entity that enables the sponsoring entity to identify all Account Holders and payees of 

the Financial Institution and to access all account and customer information 

maintained by the Financial Institution including, but not limited to, customer 

 1 A “controlled foreign corporation” means any foreign corporation if more than 50 percent 

of the total combined voting power of all classes of stock of such corporation entitled to vote, 

or the total value of the stock of such corporation, is owned, or is considered as owned, by 

“United States shareholders” on any day during the taxable year of such foreign corporation. 

For the purposes of this paragraph, the term a “United States shareholder” means, with 

respect to any foreign corporation, a United States person who owns, or is considered as 

owning, 10 percent or more of the total combined voting power of all classes of stock entitled 

to vote of such foreign corporation.
9

identification information, customer documentation, account balance, and all 

payments made to the Account Holder or payee. 

3. The sponsoring entity complies with the following requirements:

a) The sponsoring entity is authorized to act on behalf of the Financial Institution 

(such as a fund manager, trustee, corporate director, or managing partner) to 

fulfill the requirements of an FFI Agreement; 

b) The sponsoring entity has registered as a sponsoring entity with the IRS on the 

IRS FATCA registration website; 

c) Prior to December 31, 2015, the sponsoring entity has registered the Financial 

Institution with the IRS pursuant to the registration requirements set forth in 

paragraph C of section VI of this Annex II; 

d) The sponsoring entity agrees to perform, on behalf of the Financial Institution, all 

due diligence, withholding, reporting, and other requirements (including the 

requirements set forth in paragraph C of section VI of this Annex II) that the 

Financial Institution would have been required to perform if it were a Reporting 

Austrian Financial Institution; 

e) The sponsoring entity identifies the Financial Institution and includes the 

Financial Institution’s Global Intermediary Identification Number in all reporting 

completed on the Financial Institution’s behalf; and 

f) The sponsoring entity has not had its status as a sponsor revoked. The IRS may 

revoke a sponsoring entity’s status as a sponsor with respect to all sponsored 

Financial Institutions if there is a material failure by the sponsoring entity to 

comply with its obligations described above with respect to any sponsored 

Financial Institution.

C. Sponsored, Closely Held Investment Vehicle. An Austrian Financial Institution

satisfying the following requirements is a Non-Reporting Austrian Financial Institution 

treated as a certified deemed-compliant FFI for purposes of section 1471 of the U.S. 

Internal Revenue Code:

1. The Financial Institution is a Financial Institution solely because it is an Investment 

Entity and is not a qualified intermediary, withholding foreign partnership, or 

withholding foreign trust pursuant to relevant U.S. Treasury Regulations;

2. The sponsoring entity is a Reporting U.S. Financial Institution, Reporting Model 1 

FFI, or Participating FFI, is authorized to act on behalf of the Financial Institution

(such as a professional manager, trustee, or managing partner), and agrees to perform, 

on behalf of the Financial Institution, all due diligence, withholding, reporting, and 
10

other requirements that the Financial Institution would have been required to perform

if it were a Reporting Austrian Financial Institution;

3. The Financial Institution does not hold itself out as an investment vehicle for 

unrelated parties;

4. Twenty or fewer individuals own all of the debt interests and Equity Interests in the 

Financial Institution (disregarding debt interests owned by Participating FFIs and 

deemed-compliant FFIs and Equity Interests owned by an Entity if that Entity owns 

100 percent of the Equity Interests in the Financial Institution and is itself a sponsored 

Financial Institution described in this paragraph C); and

5. The sponsoring entity complies with the following requirements: 

a) The sponsoring entity has registered as a sponsoring entity with the IRS on the 

IRS FATCA registration website; 

b) The sponsoring entity agrees to perform, on behalf of the Financial Institution, all

due diligence, withholding, reporting, and other requirements that the Financial 

Institution would have been required to perform if it were a Reporting Austrian 

Financial Institution and retains documentation collected with respect to the 

Financial Institution for a period of six years; 

c) The sponsoring entity identifies the Financial Institution in all reporting 

completed on the Financial Institution’s behalf; and 

d) The sponsoring entity has not had its status as a sponsor revoked. The IRS may 

revoke a sponsoring entity’s status as a sponsor with respect to all sponsored 

Financial Institutions if there is a material failure by the sponsoring entity to 

comply with its obligations described above with respect to any sponsored 

Financial Institution. 

D. Austrian Investment Advisors and Investment Managers. An Investment Entity 

established in Austria that is a Financial Institution solely because it (1) renders

investment advice to, and acts on behalf of, or (2) manages portfolios for, and acts on 

behalf of, a customer for the purposes of investing, managing, or administering funds 

deposited in the name of the customer with a Financial Institution other than a 

Nonparticipating Financial Institution. Such an Investment Entity is a Non-Reporting 

Austrian Financial Institution treated as a certified deemed-compliant FFI for purposes of 

section 1471 of the U.S. Internal Revenue Code. 

E. Collective Investment Vehicle. An Investment Entity established in Austria that is 

regulated as a collective investment vehicle, provided that all of the interests in the 

collective investment vehicle (including debt interests in excess of $50,000) are held by 

or through one or more exempt beneficial owners, Active NFFEs described in 

subparagraph B(4) of section VI of Annex I, U.S. Persons that are not Specified U.S. 

Persons, or Financial Institutions that are not Nonparticipating Financial Institutions, and 
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the Investment Entity satisfies the requirements set forth in paragraph C of section VI of 

this Annex II. Such an Investment Entity is a Non-Reporting Austrian Financial

Institution treated as a registered deemed-compliant FFI for purposes of section 1471 of 

the U.S. Internal Revenue Code.

F. Special Rules. The following rules apply to an Investment Entity: 

1. With respect to interests in an Investment Entity that is a collective investment 

vehicle described in paragraph E of this section, the reporting obligations of any 

Investment Entity (other than a Financial Institution through which interests in the 

collective investment vehicle are held) shall be deemed fulfilled.

2. With respect to interests in: 

a) An Investment Entity established in a Partner Jurisdiction that is regulated as a 

collective investment vehicle, all of the interests in which (including debt interests 

in excess of $50,000) are held by or through one or more exempt beneficial 

owners, Active NFFEs described in subparagraph B(4) of section VI of Annex I, 

U.S. Persons that are not Specified U.S. Persons, or Financial Institutions that are 

not Nonparticipating Financial Institutions; or

b) An Investment Entity that is a qualified collective investment vehicle under 

relevant U.S. Treasury Regulations;

the reporting obligations of any Investment Entity that is an Austrian Financial

Institution (other than a Financial Institution through which interests in the collective 

investment vehicle are held) shall be deemed fulfilled.

3. With respect to interests in an Investment Entity established in Austria that is not 

described in paragraph E or subparagraph F(2) of this section, consistent with 

paragraph 4 of Article 4 of the Agreement, the reporting obligations of all other 

Investment Entities with respect to such interests shall be deemed fulfilled if the 

information required to be reported by first-mentioned Investment Entity pursuant to 

the Agreement with respect to such interests is reported by such Investment Entity or 

another person.

4. An Investment Entity established in Austria that is regulated as a collective 

investment vehicle shall not fail to qualify under paragraph E or subparagraph F(2) of 

this section, or otherwise as a deemed-compliant FFI, solely because the collective 

investment vehicle has issued physical shares in bearer form, provided that: 

a) The collective investment vehicle (or its custodial bank) has not issued, and does 

not issue, any physical shares in bearer form after December 31, 2012, or, if the 

collective investment vehicle has issued any such shares after December 31, 2012, 

the collective investment vehicle has redeemed all such shares prior to the entry 

into force of this Agreement; 
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b) The collective investment vehicle retires all such shares upon surrender; 

c) The collective investment vehicle (or a Reporting Austrian Financial Institution) 

performs the due diligence procedures set forth in Annex I and reports any 

information required to be reported with respect to any such shares when such 

shares are presented for redemption or other payment; and 

d) The collective investment vehicle or its custodial bank has in place policies and 

procedures to ensure that such shares are redeemed or immobilized as soon as 

possible, and in any event prior to January 1, 2017.

V. Accounts Excluded from Financial Accounts. The following accounts are excluded from 

the definition of Financial Accounts and therefore shall not be treated as U.S. Accounts.

A. Certain Savings Accounts.

1. Retirement and Pension Account. A retirement or pension account maintained in 

Austria that satisfies the following requirements under the laws of Austria.

a) The account is subject to regulation as a personal retirement account or is part of a 

registered or regulated retirement or pension plan for the provision of retirement 

or pension benefits (including disability or death benefits);

b) The account is tax-favored (i.e., contributions to the account that would otherwise 

be subject to tax under the laws of Austria are deductible or excluded from the 

gross income of the account holder or taxed at a reduced rate, or taxation of 

investment income from the account is deferred or taxed at a reduced rate);

c) Annual information reporting is required to the tax authorities in Austria with 

respect to the account;

d) Withdrawals are conditioned on reaching a specified retirement age, disability, or 

death, or penalties apply to withdrawals made before such specified events; and

e) Annual contributions are limited to €50,000 or less, applying the rules set forth in 

Annex I for account aggregation and currency translation. 

2. Non-Retirement Savings Accounts. An account maintained in Austria (other than an 

insurance or Annuity Contract) that satisfies the following requirements under the 

laws of Austria.

a) The account is subject to regulation as a savings vehicle for purposes other than 

for retirement;
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b) The account is tax-favored (i.e., contributions to the account that would otherwise 

be subject to tax under the laws of Austria are deductible or excluded from the 

gross income of the account holder or taxed at a reduced rate, or taxation of 

investment income from the account is deferred or taxed at a reduced rate);

c) Withdrawals are conditioned on meeting specific criteria related to the purpose of 

the savings account (for example, the provision of educational or medical 

benefits), or penalties apply to withdrawals made before such criteria are met; and

d) Annual contributions are limited to €50,000 or less, applying the rules set forth in 

Annex I for account aggregation and currency translation.

B. Certain Term Life Insurance Contracts. A life insurance contract maintained in 

Austria with a coverage period that will end before the insured individual attains age 90, 

provided that the contract satisfies the following requirements: 

1. Periodic premiums, which do not decrease over time, are payable at least annually 

during the period the contract is in existence or until the insured attains age 90, 

whichever is shorter;

2. The contract has no contract value that any person can access (by withdrawal, loan, or 

otherwise) without terminating the contract;

3. The amount (other than a death benefit) payable upon cancellation or termination of 

the contract cannot exceed the aggregate premiums paid for the contract, less the sum 

of mortality, morbidity, and expense charges (whether or not actually imposed) for 

the period or periods of the contract’s existence and any amounts paid prior to the 

cancellation or termination of the contract; and

4. The contract is not held by a transferee for value.

C. Account Held By an Estate. An account maintained in Austria that is held solely by an 

estate if the documentation for such account includes a copy of the deceased’s will or 

death certificate.

D. Escrow Accounts. An account maintained in Austria established in connection with any 

of the following: 

1. A court order or judgment.

2. A sale, exchange, or lease of real or personal property, provided that the account 

satisfies the following requirements:

a) The account is funded solely with a down payment, earnest money, deposit in an 

amount appropriate to secure an obligation directly related to the transaction, or a 
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similar payment, or is funded with a financial asset that is deposited in the 

account in connection with the sale, exchange, or lease of the property;

b) The account is established and used solely to secure the obligation of the 

purchaser to pay the purchase price for the property, the seller to pay any 

contingent liability, or the lessor or lessee to pay for any damages relating to the 

leased property as agreed under the lease;

c) The assets of the account, including the income earned thereon, will be paid or 

otherwise distributed for the benefit of the purchaser, seller, lessor, or lessee 

(including to satisfy such person’s obligation) when the property is sold, 

exchanged, or surrendered, or the lease terminates;

d) The account is not a margin or similar account established in connection with a 

sale or exchange of a financial asset; and

e) The account is not associated with a credit card account. 

3. An obligation of a Financial Institution servicing a loan secured by real property to 

set aside a portion of a payment solely to facilitate the payment of taxes or insurance 

related to the real property at a later time.

4. An obligation of a Financial Institution solely to facilitate the payment of taxes at a 

later time.

E. Accounts of Condominium Owners Associations. An account maintained in Austria 

and held for collective owners specifically for coordinating recurring cash flows 

according to the Condominium Act.

F. Occupational group insurance contracts due to sections 18f thru 18j of the Austrian 

Insurance Supervisory Act. 

G. Partner Jurisdiction Accounts. An account maintained in Austria and excluded from 

the definition of Financial Account under an agreement between the United States and 

another Partner Jurisdiction to facilitate the implementation of FATCA, provided that 

such account is subject to the same requirements and oversight under the laws of such 

other Partner Jurisdiction as if such account were established in that Partner Jurisdiction 

and maintained by a Partner Jurisdiction Financial Institution in that Partner Jurisdiction.

VI. Definitions and Other Special Rules. The following additional definitions and special rules 

shall apply to the descriptions above:

A. Reporting Model 1 FFI. The term Reporting Model 1 FFI means a Financial Institution 

with respect to which a non-U.S. government or agency thereof agrees to obtain and 

exchange information pursuant to a Model 1 IGA, other than a Financial Institution

treated as a Nonparticipating Financial Institution under the Model 1 IGA. For purposes

of this definition, the term Model 1 IGA means an arrangement between the United 
15

States or the Treasury Department and a non-U.S. government or one or more agencies 

thereof to implement FATCA through reporting by Financial Institutions to such nonU.S. government or agency thereof, followed by automatic exchange of such reported 

information with the IRS. 

B. Participating FFI. The term Participating FFI means a Financial Institution that has 

agreed to comply with the requirements of an FFI Agreement, including a Financial 

Institution described in a Model 2 IGA that has agreed to comply with the requirements 

of an FFI Agreement. The term Participating FFI also includes a qualified intermediary 

branch of a Reporting U.S. Financial Institution, unless such branch is a Reporting Model 

1 FFI. For purposes of this definition, the term FFI Agreement means where relevant, an 

FFI Agreement as defined in Article 1 of the Agreement as well as an agreement that sets 

forth the requirements for a Financial Institution to be treated as complying with the 

requirements of section 1471(b) of the U.S. Internal Revenue Code. In addition, for 

purposes of this definition, the term Model 2 IGA means an arrangement between the 

United States or the Treasury Department and a non-U.S. government or one or more 

agencies thereof to facilitate the implementation of FATCA through reporting by 

Financial Institutions directly to the IRS in accordance with the requirements of an FFI 

Agreement, supplemented by the exchange of information between such non-U.S.

government or agency thereof and the IRS. 

C. Registration Requirements for a Financial Institution that Qualifies as a Registered 

Deemed-Compliant FFI. A Financial Institution that qualifies as a registered deemedcompliant FFI must satisfy the following requirements:

1. Register on the IRS FATCA registration website with the IRS pursuant to procedures 

prescribed by the IRS and agree to comply with the terms of its registered deemedcompliant status;

2. Have its responsible officer certify every three years to the IRS, either individually or 

collectively for such Financial Institution and its Related Entities, that all of the 

requirements for the deemed-compliant category claimed by the Financial Institution 

have been satisfied since July 1, 2014;

3. Maintain in its records the confirmation from the IRS of the Financial Institution’s 

registration as a deemed-compliant FFI and the Financial Institution’s Global 

Intermediary Identification Number or such other information as the IRS specifies in 

forms or other guidance; and

4. Agree to notify the IRS if there is a change in circumstances that would make the 

Financial Institution ineligible for the deemed-compliant status for which it has 

registered, and to do so with six months of the change in circumstances unless the 

Financial Institution is able to resume its eligibility for its registered deemedcompliant status within the six-month notification period.