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AGREEMENT

BETWEEN

THE UNITED STATES OF AMERICA 

AND

THE KINGDOM OF THE NETHERLANDS,

IN RESPECT OF CURAÇAO,

TO IMPROVE INTERNATIONAL TAX COMPLIANCE

AND TO IMPLEMENT FATCA

Whereas,

the United States of America

and

the Kingdom of the Netherlands, in respect of Curaçao, (each, a “Party,” and together, 

the “Parties”)

have a longstanding and close relationship with respect to mutual assistance in tax 

matters in respect of the United States of America and the Kingdom of the Netherlands, 

in respect of Curaçao, and desire to conclude an agreement to improve international tax 

compliance through mutual assistance in tax matters based on an effective 

infrastructure for the automatic exchange of information;

Whereas, both Parties share the understanding that the Agreement Between the 

Government of the United States of America and the Government of the Kingdom of the 

Netherlands in respect of the Netherlands Antilles for the Exchange of Information with 

Respect to Taxes, done at Washington on 17 April 2002 (the “TIEA”) continues to apply

to, inter alia, Curaçao (formerly part of the Netherlands Antilles) subject to the 

understandings reached in an exchange of notes dated 31 October 2014 and 4 

November 2014 between the Parties regarding the application of the TIEA in light of the 

dissolution of the Netherlands Antilles;

Whereas, Article 4 of the TIEA authorizes the exchange of information for tax purposes, 

including on an automatic basis;

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 Kingdom of the Netherlands, including Curaçao, is supportive of the 

underlying policy goal of FATCA to improve tax compliance;
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Whereas, FATCA has raised a number of issues, including that Curaçao financial

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

legal impediments;

Whereas, the United States of America collects information regarding certain accounts 

maintained by U.S. financial institutions held by residents of Curaçao and is committed 

to exchanging such information with Curaçao and pursuing equivalent levels of 

exchange, provided that appropriate safeguards and infrastructure for an effective 

exchange relationship are in place;

Whereas, an intergovernmental approach to FATCA implementation would address 

legal impediments and reduce burdens for Curaçao financial institutions;

Whereas, the Parties desire to conclude an agreement to improve international tax 

compliance and provide for the implementation of FATCA with respect to Curaçao

based on domestic reporting and reciprocal automatic exchange pursuant to the TIEA

and subject to the confidentiality and other protections provided for therein, including 

the provisions limiting the use of the information exchanged under the TIEA; 

Now, therefore, the Parties have agreed as follows:
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Article 1

Definitions

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

following terms shall have the meanings set forth below:

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 “Curaçao” means the island of Curaçao. 

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:

a. in the case of the United States, the Secretary of the Treasury or his 

delegate; and

b. in the case of the Kingdom of the Netherlands, with respect to 

Curaçao, the Minister of Finance of Curaçao or his authorized 

representative. 

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

Depository Institution, an Investment Entity, or a Specified Insurance 

Company.

h) 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.

i) The term “Depository Institution” means any Entity that accepts deposits 

in the ordinary course of a banking or similar business. 

j) 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:

a. 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;

b. individual and collective portfolio management; or

c. otherwise investing, administering, or managing funds or money on 

behalf of other persons.
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This subparagraph 1(j) 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.

k) 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.

l) The term “Curaçao Financial Institution” means (i) any Financial 

Institution resident in Curaçao, but excluding any branch of such Financial 

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

Institution not resident in Curaçao, if such branch is located in Curaçao. 

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

Financial Institution resident 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 resident in the 

Partner Jurisdiction, if such branch is located in the Partner Jurisdiction.

n) The term “Reporting Financial Institution” means a Reporting Curaçao

Financial Institution or a Reporting U.S. Financial Institution, as the context 

requires.

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

Financial Institution that is not a Non-Reporting Curaçao Financial 

Institution.

p) The term “Reporting U.S. Financial Institution” means (i) any Financial 

Institution that is resident in the United States, but excluding any branch of 

such Financial Institution that is located outside the United States, and (ii) 

any branch of a Financial Institution not resident in the United States, if such 

branch is located in the United States, provided that the Financial Institution 

or branch has control, receipt, or custody of income with respect to which 

information is required to be exchanged under subparagraph (2)(b) of 

Article 2 of this Agreement.

q) The term “Non-Reporting Curaçao Financial Institution” means any 

Curaçao Financial Institution, or other Entity resident in Curaçao that is 

described in Annex II as a Non-Reporting Curaçao Financial Institution or 

that otherwise qualifies as a deemed-compliant FFI or an exempt beneficial 

owner under relevant U.S. Treasury Regulations. 

r) The term “Nonparticipating Financial Institution” means a 

nonparticipating FFI, as that term is defined in relevant U.S. Treasury 

Regulations, but does not include a Curaçao Financial Institution or other 

Partner Jurisdiction Financial Institution other than a Financial Institution 

treated as a Nonparticipating Financial Institution pursuant to subparagraph 

2(b) of Article 5 of this Agreement or the corresponding provision in an 

agreement between the United States and a Partner Jurisdiction.
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s) The term “Financial Account” means an account maintained by a 

Financial Institution, and includes:

a. in the case of an Entity that is a Financial Institution solely because it 

is an Investment Entity, any equity or debt interest (other than 

interests that are regularly traded on an established securities market) 

in the Financial Institution; 

b. in the case of a Financial Institution not described in subparagraph 

1(s)(a) of this Article, any equity or debt interest in the Financial 

Institution (other than interests that are regularly traded on an 

established securities market), if (i) the value of the debt or equity 

interest is determined, directly or indirectly, primarily by reference to 

assets that give rise to U.S. Source Withholdable Payments, and (ii) 

the class of interests was established with a purpose of avoiding 

reporting in accordance with this Agreement; and

c. any Cash Value Insurance Contract and any Annuity Contract issued 

or maintained by a Financial Institution, other than a noninvestmentlinked, nontransferable immediate life annuity that is issued to an 

individual and monetizes a pension or disability benefit provided under 

an account, product, or arrangement that is excluded from the 

definition of Financial Account in Annex II.

Notwithstanding the foregoing, the term “Financial Account” does not 

include any account that is excluded from the definition of Financial Account 

in Annex II. 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. For purposes of this subparagraph 1(s), an 

interest in a Financial Institution is not “regularly traded” and shall be treated 

as a Financial Account if the holder of the interest (other than a Financial 

Institution acting as an intermediary) is registered on the books of such 

Financial Institution. The preceding sentence will not apply to interests 

registered on the books of such Financial Institution prior to July 1, 2014, 

and with respect to interests first registered on the books of such Financial 

Institution on or after July 1, 2014, a Financial Institution is not required to 

apply the preceding sentence prior to January 1, 2016. 

t) The term “Depository Account” includes any commercial, checking, 

savings, time, or thrift account, or an account that is evidenced by a 

certificate of deposit, thrift certificate, investment certificate, certificate of 

indebtedness, or other similar instrument maintained by a Financial 

Institution in the ordinary course of a banking or similar business. A 

Depository Account also includes an amount held by an insurance company 

pursuant to a guaranteed investment contract or similar agreement to pay or 

credit interest thereon. 
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u) The term “Custodial Account” means an account (other than an 

Insurance Contract or Annuity Contract) for the benefit of another person 

that holds any financial instrument or contract held for investment (including, 

but not limited to, a share or stock in a corporation, a note, bond, debenture, 

or other evidence of indebtedness, a currency or commodity transaction, a 

credit default swap, a swap based upon a nonfinancial index, a notional 

principal contract, an Insurance Contract or Annuity Contract, and any 

option or other derivative instrument).

v) The term “Equity Interest” means, in the case of a partnership that is a 

Financial Institution, either a capital or profits interest in the partnership. In 

the case of a trust that is a Financial Institution, an Equity Interest is 

considered to be held by any person treated as a settlor or beneficiary of all 

or a portion of the trust, or any other natural person exercising ultimate 

effective control over the trust. A Specified U.S. Person shall be treated as 

being a beneficiary of a foreign trust if such Specified U.S. Person has the 

right to receive directly or indirectly (for example, through a nominee) a 

mandatory distribution or may receive, directly or indirectly, a discretionary 

distribution from the trust. 

w) The term “Insurance Contract” means a contract (other than an Annuity 

Contract) under which the issuer agrees to pay an amount upon the 

occurrence of a specified contingency involving mortality, morbidity, 

accident, liability, or property risk.

x) The term “Annuity Contract” means a contract under which the issuer 

agrees to make payments for a period of time determined in whole or in part 

by reference to the life expectancy of one or more individuals. The term also 

includes a contract that is considered to be an Annuity Contract in 

accordance with the law, regulation, or practice of the jurisdiction in which 

the contract was issued, and under which the issuer agrees to make 

payments for a term of years. 

y) The term “Cash Value Insurance Contract” means an Insurance Contract 

(other than an indemnity reinsurance contract between two insurance 

companies) that has a Cash Value greater than $50,000.

z) The term “Cash Value” means the greater of (i) the amount that the 

policyholder is entitled to receive upon surrender or termination of the 

contract (determined without reduction for any surrender charge or policy 

loan), and (ii) the amount the policyholder can borrow under or with regard 

to the contract. Notwithstanding the foregoing, the term “Cash Value” does 

not include an amount payable under an Insurance Contract as: 

a. a personal injury or sickness benefit or other benefit providing 

indemnification of an economic loss incurred upon the occurrence of 

the event insured against; 

b. a refund to the policyholder of a previously paid premium under an 

Insurance Contract (other than under a life insurance contract) due to 

policy cancellation or termination, decrease in risk exposure during 

the effective period of the Insurance Contract, or arising from a 

redetermination of the premium due to correction of posting or other 

similar error; or 

c. a policyholder dividend based upon the underwriting experience of the 

contract or group involved.
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aa) The term “Reportable Account” means a U.S. Reportable Account or a 

Curaçao Reportable Account, as the context requires.

bb) The term “Curaçao Reportable Account” means a Financial Account 

maintained by a Reporting U.S. Financial Institution if: (i) in the case of a 

Depository Account, the account is held by an individual resident in Curaçao

and more than $10 of interest is paid to such account in any given calendar 

year; or (ii) in the case of a Financial Account other than a Depository 

Account, the Account Holder is a resident of Curaçao, including an Entity 

that certifies that it is resident in Curaçao for tax purposes, with respect to 

which U.S. source income that is subject to reporting under chapter 3 of 

subtitle A or chapter 61 of subtitle F of the U.S. Internal Revenue Code is 

paid or credited.

cc) The term “U.S. Reportable Account” means a Financial Account 

maintained by a Reporting Curaçao 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. Reportable Account if 

such account is not identified as a U.S. Reportable Account after application 

of the due diligence procedures in Annex I.

dd) 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.

ee) 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(ee) shall be 

interpreted in accordance with the U.S. Internal Revenue Code.
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ff) 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. 

gg) The term “Entity” means a legal person or a legal arrangement such as a 

trust or a foundation. 

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

ii) The term “U.S. Source Withholdable Payment” means any payment of 

interest (including any original issue discount), dividends, rents, salaries, 

wages, premiums, annuities, compensations, remunerations, emoluments, 

and other fixed or determinable annual or periodical gains, profits, and 

income, if such payment is from sources within the United States. 

Notwithstanding the foregoing, a U.S. Source Withholdable Payment does 

not include any payment that is not treated as a withholdable payment in 

relevant U.S. Treasury Regulations. 

jj) 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, Curaçao 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. 

kk) The term “U.S. TIN” means a U.S. federal taxpayer identifying number. 

ll) The term “Curaçao TIN” means a taxpayer identifying number issued by 

Curaçao.
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mm) 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 relating to the taxes which are the 

subject of 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

Obligations to Obtain and Exchange Information with Respect to Reportable Accounts

1. Subject to the provisions of Article 3 of this Agreement, each Party shall obtain 

the information specified in paragraph 2 of this Article with respect to all 

Reportable Accounts and shall annually exchange this information with the other 

Party on an automatic basis pursuant to the provisions of Article 4 of the TIEA.

2. The information to be obtained and exchanged is:

a) In the case of Curaçao with respect to each U.S. Reportable Account of 

each Reporting Curaçao Financial Institution:

(1) the name, address, and U.S. TIN of each Specified U.S. Person that 

is an Account Holder of such account and, in the case of a Non-U.S. 

Entity that, after application of the due diligence procedures set forth 

in Annex I, is identified as having one or more Controlling Persons 

that is a Specified U.S. Person, the name, address, and U.S. TIN (if 

any) of such entity and each such Specified U.S. Person;

(2) the account number (or functional equivalent in the absence of an 

account number); 

(3) the name and identifying number of the Reporting Curaçao Financial 

Institution;

(4) the account balance or value (including, in the case of a Cash Value 

Insurance Contract or Annuity Contract, the Cash Value or surrender 

value) as of the end of the relevant calendar year or other appropriate 

reporting period or, if the account was closed during such year, 

immediately before closure; 

(5) in the case of any Custodial Account: 
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(A) the total gross amount of interest, the total gross amount of 

dividends, and the total gross amount of other income 

generated with respect to the assets held in the account, in each 

case paid or credited to the account (or with respect to the 

account) during the calendar year or other appropriate reporting 

period; and 

(B) the total gross proceeds from the sale or redemption of property 

paid or credited to the account during the calendar year or other 

appropriate reporting period with respect to which the Reporting 

Curaçao Financial Institution acted as a custodian, broker, 

nominee, or otherwise as an agent for the Account Holder; 

(6) in the case of any Depository Account, the total gross amount of 

interest paid or credited to the account during the calendar year or 

other appropriate reporting period; and

(7) in the case of any account not described in subparagraph 2(a)(5) or 

2(a)(6) of this Article, the total gross amount paid or credited to the 

Account Holder with respect to the account during the calendar year 

or other appropriate reporting period with respect to which the 

Reporting Curaçao Financial Institution is the obligor or debtor, 

including the aggregate amount of any redemption payments made to 

the Account Holder during the calendar year or other appropriate 

reporting period.

b) In the case of the United States, with respect to each Curaçao Reportable 

Account of each Reporting U.S. Financial Institution:

(1) the name, address, and Curaçao TIN of any person that is a resident 

of Curaçao and is an Account Holder of the account; 

(2) the account number (or the functional equivalent in the absence of an 

account number);

(3) the name and identifying number of the Reporting U.S. Financial 

Institution;

(4) the gross amount of interest paid on a Depository Account;

(5) the gross amount of U.S. source dividends paid or credited to the 

account; and 

(6) the gross amount of other U.S. source income paid or credited to the 

account, to the extent subject to reporting under chapter 3 of subtitle A 

or chapter 61 of subtitle F of the U.S. Internal Revenue Code.

Article 3

Time and Manner of Exchange of Information

1. For purposes of the exchange obligation in Article 2 of this Agreement, the 

amount and characterization of payments made with respect to a U.S. Reportable 

Account may be determined in accordance with the principles of the tax laws of 

Curaçao, and the amount and characterization of payments made with respect to 

a Curaçao Reportable Account may be determined in accordance with principles 

of U.S. federal income tax law. 
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2. For purposes of the exchange obligation in Article 2 of this Agreement, the 

information exchanged shall identify the currency in which each relevant amount 

is denominated.

3. With respect to paragraph 2 of Article 2 of this Agreement, information is to be 

obtained and exchanged with respect to 2014 and all subsequent years, except 

that:

a) In the case of Curaçao: 

(1) the information to be obtained and exchanged with respect to 2014 is 

only the information described in subparagraphs 2(a)(1) through 

2(a)(4) of Article 2 of this Agreement; 

(2) the information to be obtained and exchanged with respect to 2015 is 

the information described in subparagraphs 2(a)(1) through 2(a)(7) of 

Article 2 of this Agreement, except for gross proceeds described in 

subparagraph 2(a)(5)(B) of Article 2 of this Agreement; and

(3) the information to be obtained and exchanged with respect to 2016 

and subsequent years is the information described in subparagraphs 

2(a)(1) through 2(a)(7) of Article 2 of this Agreement;

b) In the case of the United States, the information to be obtained and 

exchanged with respect to 2014 and subsequent years is all of the 

information identified in subparagraph 2(b) of Article 2 of this Agreement. 

4. Notwithstanding paragraph 3 of this Article, with respect to each Reportable 

Account that is maintained by a Reporting Financial Institution as of June 30, 

2014, and subject to paragraph 3 of Article 6 of this Agreement, the Parties are 

not required to obtain and include in the exchanged information Curaçao TIN or 

the U.S. TIN, as applicable, of any relevant person if such taxpayer identifying 

number is not in the records of the Reporting Financial Institution. In such a case, 

the Parties shall obtain and include in the exchanged information the date of birth 

of the relevant person, if the Reporting Financial Institution has such date of birth 

in its records.

5. Subject to paragraphs 3 and 4 of this Article, the information described in Article 2 

of this Agreement shall be exchanged within nine months after the end of the 

calendar year to which the information relates. 

6. The Competent Authorities of Curaçao and the United States shall enter into an 

arrangement under the mutual agreement procedures provided for in Article 5 of 

the TIEA, which shall:

a) establish the procedures for the automatic exchange obligations described 

in Article 2 of this Agreement;

b) prescribe rules and procedures as may be necessary to implement Article 5 

of this Agreement; and

c) establish as necessary procedures for the exchange of the information 

reported under subparagraph 1(b) of Article 4 of this Agreement.
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7. All information exchanged under this Agreement shall be subject to the 

confidentiality and other protections provided for in the TIEA, including the 

provisions limiting the use of the information exchanged.

8. Following entry into force of this Agreement, each Competent Authority shall 

provide written notification to the other Competent Authority when it is satisfied 

that the jurisdiction of the other Competent Authority has in place (i) appropriate 

safeguards to ensure that the information received pursuant to this Agreement 

shall remain confidential and be used solely for tax purposes, and (ii) the 

infrastructure for an effective exchange relationship (including established 

processes for ensuring timely, accurate, and confidential information exchanges 

effective and reliable communications, and demonstrated capabilities to promptly 

resolve questions and concerns about exchanges or requests for exchanges and 

to administer the provisions of Article 5 of this Agreement). The Competent 

Authorities shall endeavor in good faith to meet, prior to September 2015, to 

establish that each jurisdiction has such safeguards and infrastructure in place.

9. The obligations of the Parties to obtain and exchange information under Article 2 

of the Agreement shall take effect on the date of the later of the written 

notifications described in paragraph 8 of this Article. Notwithstanding the 

foregoing, if the Curaçao Competent Authority is satisfied that the United States 

had the safeguards and infrastructure described in paragraph 8 of this Article in 

place, but additional time is necessary for the U.S. Competent Authority to 

establish that Curaçao has such safeguards and infrastructure in place, the 

obligations of Curaçao to obtain and exchange information under Article 2 of the 

Agreement shall take effect on the date of the written notification provided by the 

Curaçao Competent Authority to the U.S. Competent Authority pursuant to 

paragraph 8 of this Article.

10. This Agreement shall terminate on September 30, 2015, if Article 2 of this 

Agreement is not in effect for either Party pursuant to paragraph 9 of this Article 

by that date.

Article 4

Application of FATCA to Curaçao Financial Institutions

1. Treatment of Reporting Curaçao Financial Institutions. Each Reporting 

Curaçao Financial Institution shall be treated as complying with, and not subject 

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

complies with its obligations under Articles 2 and 3 of this Agreement with respect 

to such Reporting Curaçao Financial Institution, and the Reporting Curaçao

Financial Institution:

a) identifies U.S. Reportable Accounts and reports annually to the Curaçao

Competent Authority the information required to be reported in 

subparagraph 2(a) of Article 2 of this Agreement in the time and manner 

described in Article 3 of this Agreement;
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b) for each of 2015 and 2016, reports annually to the Curaçao Competent 

Authority the name of each Nonparticipating Financial Institution to which it 

has made payments and the aggregate amount of such payments;

c) complies with the applicable registration requirements on the IRS FATCA 

registration website;

d) to the extent that a Reporting Curaçao Financial Institution is (i) acting as a 

qualified intermediary (for purposes of section 1441 of the U.S. Internal 

Revenue Code) that has elected to assume primary withholding 

responsibility under chapter 3 of subtitle A of the U.S. Internal Revenue 

Code, (ii) a foreign partnership that has elected to act as a withholding 

foreign partnership (for purposes of both sections 1441 and 1471 of the 

U.S. Internal Revenue Code), or (iii) a foreign trust that has elected to act as 

a withholding foreign trust (for purposes of both sections 1441 and 1471 of 

the U.S. Internal Revenue Code), withholds 30 percent of any U.S. Source 

Withholdable Payment to any Nonparticipating Financial Institution; and 

e) in the case of a Reporting Curaçao Financial Institution that is not described 

in subparagraph 1(d) of this Article and that makes a payment of, or acts as 

an intermediary with respect to, a U.S. Source Withholdable Payment to any 

Nonparticipating Financial Institution, the Reporting Curaçao Financial 

Institution provides to any immediate payor of such U.S. Source 

Withholdable Payment the information required for withholding and 

reporting to occur with respect to such payment.

Notwithstanding the foregoing, a Reporting Curaçao Financial Institution with 

respect to which the conditions of this paragraph 1 are not satisfied shall not be 

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

unless such Reporting Curaçao Financial Institution is treated by the IRS as a 

Nonparticipating Financial Institution pursuant to subparagraph 2(b) of Article 5 of 

this Agreement.

2. Suspension of Rules Relating to Recalcitrant Accounts. The United States 

shall not require a Reporting Curaçao 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 the U.S. Competent 

Authority receives the information set forth in subparagraph 2(a) of Article 2 of this 

Agreement, subject to the provisions of Article 3 of this Agreement, with respect to 

such account.

3. Specific Treatment of Curaçao 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 Curaçao

retirement plans described in Annex II. For this purpose, a Curaçao retirement 

plan includes an Entity established or located in, and regulated in Curaçao, 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

Curaçao and regulated with respect to contributions, distributions, reporting, 

sponsorship, and taxation. 
-14-

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

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

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 a Curaçao Financial Institution, that 

otherwise meets the requirements described in paragraph 1 of this Article 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 FFI solely due to the expiration of the 

transitional rule for limited FFIs and limited branches under relevant U.S. Treasury 

Regulations, such Curaçao Financial Institution shall continue to be in compliance 

with the terms of this Agreement and shall continue to be treated as a deemedcompliant FFI or exempt beneficial owner, as appropriate, for purposes of section 

1471 of the U.S. Internal Revenue Code, provided that:

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

as a separate Nonparticipating Financial Institution for purposes of all the 

reporting and withholding requirements of this Agreement and each such 

Related Entity or 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 

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 Curaçao 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 Timing. Notwithstanding paragraphs 3 and 5 of Article 3 of this 

Agreement: 

a) Curaçao shall not be obligated to obtain and exchange information with 

respect to a calendar year that is prior to the calendar year with respect to 

which similar information is required to be reported to the IRS by 

participating FFIs pursuant to relevant U.S. Treasury Regulations;

b) Curaçao shall not be obligated to begin exchanging information prior to the 

date by which participating FFIs are required to report similar information to 

the IRS under relevant U.S. Treasury Regulations; 
-15-

c) the United States shall not be obligated to obtain and exchange information 

with respect to a calendar year that is prior to the first calendar year with 

respect to which Curaçao is required to obtain and exchange information; 

and 

d) the United States shall not be obligated to begin exchanging information 

prior to the date by which Curaçao is required to begin exchanging 

information. 

7. 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 Curaçao may use, and may permit 

Curaçao 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 5

Collaboration on Compliance and Enforcement

1. Minor and Administrative Errors. A Competent Authority shall notify the 

Competent Authority of the other Party when the first-mentioned Competent 

Authority has reason to believe that administrative errors or other minor errors 

may have led to incorrect or incomplete information reporting or resulted in other 

infringements of this Agreement. The Competent Authority of such other Party 

shall apply its domestic law (including applicable penalties) to obtain corrected 

and/or complete information or to resolve other infringements of this Agreement. 

2. Significant Non-Compliance.

a) A Competent Authority shall notify the Competent Authority of the other 

Party when the first-mentioned Competent Authority has determined that 

there is significant non-compliance with the obligations under this 

Agreement with respect to a Reporting Financial Institution in the other 

jurisdiction. The Competent Authority of such other Party shall apply its 

domestic law (including applicable penalties) to address the significant noncompliance described in the notice. 

b) If, in the case of a Reporting Curaçao Financial Institution, such 

enforcement actions do not resolve the non-compliance within a period of 

18 months after notification of significant non-compliance is first provided, 

the United States shall treat the Reporting Curaçao Financial Institution as a 

Nonparticipating Financial Institution pursuant to this subparagraph 2(b). 

3. Reliance on Third Party Service Providers. Each Party may allow Reporting 

Financial Institutions to use third party service providers to fulfill the obligations 

imposed on such Reporting Financial Institutions by a Party, as contemplated in 

this Agreement, but these obligations shall remain the responsibility of the 

Reporting Financial Institutions.

4. Prevention of Avoidance. The Parties shall implement all necessary 

requirements to prevent Financial Institutions from adopting practices intended to 

circumvent the reporting required under this Agreement.
-16-

Article 6

Mutual Commitment to Continue to Enhance the Effectiveness of 

Information Exchange and Transparency

1. Reciprocity. The Government of the United States acknowledges the need to 

achieve equivalent levels of reciprocal automatic information exchange with 

Curaçao. The Government of the United States is committed to further improve 

transparency and enhance the exchange relationship with Curaçao by pursuing 

the adoption of regulations and advocating and supporting relevant legislation to 

achieve such equivalent levels of reciprocal automatic information exchange.

2. 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. 

3. Documentation of Accounts Maintained as of June 30, 2014. With respect to 

Reportable Accounts maintained by a Reporting Financial Institution as of June 

30, 2014:

a) The United States commits to establish, by January 1, 2017, for reporting 

with respect to 2017 and subsequent years, rules requiring Reporting U.S. 

Financial Institutions to obtain and report the Curaçao TIN of each Account 

Holder of a Curaçao Reportable Account as required pursuant to 

subparagraph 2(b)(1) of Article 2 of this Agreement; and

b) Curaçao commits to establish, by January 1, 2017, for reporting with 

respect to 2017 and subsequent years, rules requiring Reporting Curaçao

Financial Institutions to obtain the U.S. TIN of each Specified U.S. Person 

as required pursuant to subparagraph 2(a)(1) of Article 2 of this Agreement.

Article 7

Consistency in the Application of FATCA to Partner Jurisdictions

1. Curaçao shall be granted the benefit of any more favorable terms under Article 4 

or Annex I of this Agreement relating to the application of FATCA to Curaçao 

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 Curaçao described in Articles 2 and 3 of this 

Agreement, and subject to the same terms and conditions as described therein 

and in Articles 5 through 9 of this Agreement. 

2. The United States shall notify Curaçao 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 

signing of the agreement incorporating the more favorable terms, unless Curaçao 

declines in writing the application thereof. 
-17-

Article 8

Consultations and Amendments

1. In case any difficulties in the implementation 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 the written notification of the 

Kingdom of the Netherlands to the United States that it 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.

3. The Parties shall, prior to December 31, 2016, consult in good faith to amend this 

Agreement as necessary to reflect progress on the commitments set forth in 

Article 6 of this Agreement.

IN WITNESS WHEREOF, the undersigned, being duly authorized thereto by their 

respective Governments, have signed this Agreement.

Done at , in duplicate, in the English language, this 

day of , 20 .

FOR THE UNITED STATES OF 

AMERICA

FOR THE KINGDOM OF THE 

NETHERLANDS, IN RESPECT OF 

CURAÇAO
-18-

ANNEX I

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

REPORTABLE ACCOUNTS AND ON PAYMENTS TO CERTAIN 

NONPARTICIPATING FINANCIAL INSTITUTIONS

I. General.

 

A. Curaçao shall require that Reporting Curaçao Financial Institutions apply 

the due diligence procedures contained in this Annex I to identify U.S. 

Reportable Accounts and accounts held by Nonparticipating Financial 

Institutions. 

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 

other appropriate reporting period.

3. Where a balance or value threshold is to be determined as of June 30, 

2014 under this Annex I, the relevant balance or value shall be 

determined as of that day or the last day of the reporting period 

ending immediately before June 30, 2014, and where a balance or 

value threshold is to be determined as of the last day of a calendar 

year under this Annex I, the relevant balance or value shall be 

determined as of the last day of the calendar year or other appropriate 

reporting period. 

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

shall be treated as a U.S. Reportable Account beginning as of the 

date it is identified as such pursuant to the due diligence procedures 

in this Annex I.

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

Reportable Account shall 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, Curaçao may permit Reporting Curaçao Financial Institutions to rely on 

the procedures described in relevant U.S. Treasury Regulations to establish 

whether an account is a U.S. Reportable Account or an account held by a 

Nonparticipating Financial Institution. Curaçao may permit Reporting 

Curaçao Financial Institutions to 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). 
-19-

II. Preexisting Individual Accounts. 

The following rules and procedures apply for purposes of identifying U.S. 

Reportable Accounts among Preexisting Accounts held by individuals 

(“Preexisting Individual Accounts”).

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

Unless the Reporting Curaçao Financial Institution elects otherwise, either 

with respect to all Preexisting Individual Accounts or, separately, with 

respect to any clearly identified group of such accounts, where the 

implementing rules in Curaçao provide for such an election, the following 

Preexisting Individual Accounts are not required to be reviewed, identified, 

or reported as U.S. Reportable 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 

Curaçao 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 Curaçao requires 

reporting or withholding with respect to insurance products held by 

residents of Curaçao).

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 Curaçao Financial 

Institution must review electronically searchable data maintained by 

the Reporting Curaçao 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;
-20-

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 Curaçao 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 Curaçao Financial 

Institution must treat the account as a U.S. Reportable 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 Curaçao Financial Institution is not required 

to treat an account as a U.S. Reportable Account if:

a) Where the Account Holder information unambiguously indicates 

a U.S. place of birth, the Reporting Curaçao 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
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(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 Curaçao 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 Curaçao 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 Curaçao 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.
-22-

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 Curaçao Financial 

Institution must treat the account as a U.S. Reportable 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. Reportable Account under this section shall be 

treated as a U.S. Reportable 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 Curaçao Financial 

Institution must review electronically searchable data maintained by 

the Reporting Curaçao Financial Institution for any of the U.S. indicia 

described in subparagraph B(1) of this section.

2. Paper Record Search. If the Reporting Curaçao 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 Curaçao 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 Curaçao 

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 

Curaçao Financial Institution pursuant to AML/KYC Procedures 

or for other regulatory purposes;

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

effect; and

e) Any standing instructions to transfer funds currently in effect.
-23-

3. Exception Where Databases Contain Sufficient Information. A 

Reporting Curaçao Financial Institution is not required to perform the 

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

the Reporting Curaçao 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 Curaçao Financial Institution;

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

any, with the Reporting Curaçao 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 Curaçao 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 Curaçao Financial Institution must treat as a U.S. 

Reportable 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.

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 Curaçao 

Financial Institution must treat the account as a U.S. Reportable 

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.
-24-

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. Reportable Account under this section shall 

be treated as a U.S. Reportable 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 Curaçao 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. Reportable Account on 

or before December 31, 2014, the Reporting Curaçao 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. 

Reportable Account after December 31, 2014 and on or before June 

30, 2015, the Reporting Curaçao 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 Curaçao 

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. Reportable Account, the Reporting 

Curaçao Financial Institution must report the required information 

about such account with respect to the year in which it is identified as 

a U.S. Reportable Account and subsequent years on an annual basis, 

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

3. Once a Reporting Curaçao Financial Institution applies the enhanced 

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

Value Account, the Reporting Curaçao Financial Institution is not 

required to re-apply such procedures, other than the relationship 

manager inquiry described in 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 Curaçao Financial Institution must treat the 

account as a U.S. Reportable 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.
-25-

5. A Reporting Curaçao 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 Curaçao 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 Curaçao 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. 

Reportable 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 Curaçao Financial Institution elects otherwise, either with 

respect to all New Individual Accounts or, separately, with respect to any 

clearly identified group of such accounts, where the implementing rules in 

Curaçao provide for such an election, the following New Individual Accounts 

are not required to be reviewed, identified, or reported as U.S. Reportable 

Accounts:

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

the end of any calendar year or other appropriate reporting period. 

2. A Cash Value Insurance Contract unless the Cash Value exceeds 

$50,000 at the end of any calendar year or other appropriate reporting 

period. 
-26-

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 this section), the Reporting 

Curaçao Financial Institution must obtain a self-certification, which may be 

part of the account opening documentation, that allows the Reporting 

Curaçao 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 Curaçao 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 Curaçao Financial 

Institution must treat the account as a U.S. Reportable 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 Curaçao Financial Institution to 

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

incorrect or unreliable, the Reporting Curaçao Financial Institution 

cannot rely on the original self-certification 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 Curaçao 

Financial Institution is unable to obtain a valid self-certification, the 

Reporting Curaçao Financial Institution must treat the account as a 

U.S. Reportable Account.

IV. Preexisting Entity Accounts. 

The following rules and procedures apply for purposes of identifying U.S. 

Reportable 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 Curaçao Financial Institution elects otherwise, either 

with respect to all Preexisting Entity Accounts or, separately, with respect to 

any clearly identified group of such accounts, where the implementing rules 

in Curaçao provide for such an election, 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. 

Reportable Account until the account balance or value exceeds $1,000,000.

 
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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 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. 

Reportable Accounts. In addition, accounts held by Nonparticipating 

Financial Institutions shall be treated as accounts for which aggregate 

payments as described in subparagraph 1(b) of Article 4 of the Agreement 

are reported to the Curaçao Competent Authority.

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 Curaçao 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 Curaçao Financial Institution must treat 

the account as a U.S. Reportable 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.
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b) If the information indicates that the Account Holder is a Financial 

Institution, or the Reporting Curaçao 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. 

Reportable Account. 

3. Determine Whether a Financial Institution Is a Nonparticipating 

Financial Institution Payments to Which Are Subject to 

Aggregate Reporting Under Subparagraph 1(b) of Article 4 of the 

Agreement. 

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

Curaçao Financial Institution may determine that the Account 

Holder is a Curaçao Financial Institution or other Partner 

Jurisdiction Financial Institution if the Reporting Curaçao 

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 Curaçao 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 a Curaçao 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. Reportable Account, but payments to the Account Holder 

must be reported as contemplated in subparagraph 1(b) of 

Article 4 of the Agreement. 

c) If the Account Holder is not a Curaçao Financial Institution or 

other Partner Jurisdiction Financial Institution, then the 

Reporting Curaçao Financial Institution must treat the Account 

Holder as a Nonparticipating Financial Institution payments to 

which are reportable under subparagraph 1(b) of Article 4 of the 

Agreement, unless the Reporting Curaçao 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.
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4. Determine Whether an Account Held by an NFFE Is a U.S. 

Reportable 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 Curaçao 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 Curaçao 

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.

a) For purposes of determining the Controlling Persons of an 

Account Holder, a Reporting Curaçao 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 Curaçao 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 Curaçao 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. Reportable 

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.
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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 Curaçao Financial Institution 

to know, or have reason to know, that the self-certification or other 

documentation associated with an account is incorrect or unreliable, 

the Reporting Curaçao 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. 

Reportable 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 Curaçao Financial Institution elects otherwise, either 

with respect to all New Entity Accounts or, separately, with respect to any 

clearly identified group of such accounts, where the implementing rules in 

Curaçao provide for such election, 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 Curaçao 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 Curaçao Financial 

Institution must determine whether the Account Holder is: (i) a Specified 

U.S. Person; (ii) a Curaçao 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 Curaçao 

Financial Institution may determine that the Account Holder is an 

Active NFFE, a Curaçao Financial Institution, or other Partner 

Jurisdiction Financial Institution if the Reporting Curaçao 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 Curaçao Financial Institution, as 

applicable. 
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2. If the Account Holder is a Curaçao 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. 

Reportable Account, but payments to the Account Holder must be 

reported as contemplated in subparagraph 1(b) of Article 4 of the 

Agreement.

3. In all other cases, a Reporting Curaçao 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 

Curaçao Financial Institution must treat the account as a U.S. 

Reportable Account.

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

Curaçao 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 Curaçao Financial Institution must treat the account 

as a U.S. Reportable 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, 

a Curaçao 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. 

Reportable Account, and no reporting is required with respect to 

the account.

d) If the Account Holder is a Nonparticipating Financial Institution 

(including a Curaçao 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. Reportable Account, but payments to the Account Holder 

must be reported as contemplated in subparagraph 1(b) of 

Article 4 of the Agreement.
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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 

Curaçao Financial Institution may not rely on a self-certification or 

documentary evidence if the Reporting Curaçao 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 Curaçao Financial Institution 

pursuant to the anti-money laundering or similar requirements of 

Curaçao to which such Reporting Curaçao 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 NonU.S. Entity that is established in Curaçao or established in another 

Partner Jurisdiction and that is not a Financial Institution.

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;

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;
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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 entity shall not qualify for NFFE status 

if the entity 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 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;
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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 noncharitable 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 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 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 Curaçao Financial Institution is required to 

aggregate all Financial Accounts maintained by the Reporting 

Curaçao Financial Institution, or by a Related Entity, but only to the 

extent that the Reporting Curaçao 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 Curaçao Financial Institution is required to take into account 

all Financial Accounts that are maintained by the Reporting Curaçao 

Financial Institution, or by a Related Entity, but only to the extent that 

the Reporting Curaçao 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.
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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 Curaçao 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 Curaçao 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 Curaçao 

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:

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 

anti-money 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.
-36-

E. Alternative Procedures for Financial Accounts Held by Individual 

Beneficiaries of a Cash Value Insurance Contract. A Reporting Curaçao 

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. Reportable Account unless the Reporting Curaçao Financial 

Institution has actual knowledge, or reason to know, that the beneficiary is a 

Specified U.S. Person. A Reporting Curaçao 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 Curaçao 

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 Curaçao Financial Institution has actual knowledge, or reason to 

know, that the beneficiary is a Specified U.S. Person, the Reporting 

Curaçao 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, Curaçao may permit 

Reporting Curaçao Financial Institutions to rely on due diligence procedures 

performed by third parties, to the extent provided in relevant U.S. Treasury 

Regulations.

G. Alternative Procedures for New Accounts Opened Prior to Entry Into 

Force of this Agreement.

1. Applicability. If the Kingdom of the Netherlands has provided a written 

notice to the United States prior to entry into force of this Agreement 

that, as of July 1, 2014, Curaçao lacked the legal authority to require 

Reporting Curaçao Financial Institutions either: (i) to require Account 

Holders of New Individual Accounts to provide the self-certification 

specified in section III of this Annex I, or (ii) to perform all the due 

diligence procedures related to New Entity Accounts specified in 

section V of this Annex I, then Reporting Curaçao Financial Institutions 

may apply the alternative procedures described in subparagraph G(2) 

of this section, as applicable, to such New Accounts, in lieu of the 

procedures otherwise required under this Annex I. The alternative 

procedures described in subparagraph G(2) of this section shall be 

available only for those New Individual Accounts or New Entity 

Accounts, as applicable, opened prior to the earlier of: (i) the date 

Curaçao has the ability to compel Reporting Curaçao Financial 

Institutions to comply with the due diligence procedures described in 

section III or section V of this Annex I, as applicable, which date the 

Kingdom of the Netherlands shall inform the United States of in writing 

by the date of entry into force of this Agreement, or (ii) the date of entry 

into force of this Agreement. If the alternative procedures for New 

Entity Accounts opened on or after July 1, 2014, and before January 1, 

2015, described in paragraph H of this section are applied with respect 

to all New Entity Accounts or a clearly identified group of such 

accounts, the alternative procedures described in this paragraph G 
-37-

may not be applied with respect to such New Entity Accounts. For all 

other New Accounts, Reporting Curaçao Financial Institutions must 

apply the due diligence procedures described in section III or section V 

of this Annex I, as applicable, to determine if the account is a U.S. 

Reportable Account or an account held by a Nonparticipating Financial 

Institution.

2. Alternative Procedures.

a) Within one year after the date of entry into force of this Agreement, 

Reporting Curaçao Financial Institutions must: (i) with respect to a 

New Individual Account described in subparagraph G(1) of this 

section, request the self-certification specified in section III of this 

Annex I and confirm the reasonableness of such self-certification 

consistent with the procedures described in section III of this Annex 

I, and (ii) with respect to a New Entity Account described in 

subparagraph G(1) of this section, perform the due diligence 

procedures specified in section V of this Annex I and request 

information as necessary to document the account, including any 

self-certification, required by section V of this Annex I.

b) Curaçao must report on any New Account that is identified 

pursuant to subparagraph G(2)(a) of this section as a U.S. 

Reportable Account or as an account held by a Nonparticipating 

Financial Institution, as applicable, by the date that is the later of: (i) 

September 30 next following the date that the account is identified 

as a U.S. Reportable Account or as an account held by a 

Nonparticipating Financial Institution, as applicable, or (ii) 90 days 

after the account is identified as a U.S. Reportable Account or as 

an account held by a Nonparticipating Financial Institution, as 

applicable. The information required to be reported with respect to 

such a New Account is any information that would have been 

reportable under this Agreement if the New Account had been 

identified as a U.S. Reportable Account or as an account held by a 

Nonparticipating Financial Institution, as applicable, as of the date 

the account was opened.

c) By the date that is one year after the date of entry into force of this 

Agreement, Reporting Curaçao Financial Institutions must close 

any New Account described in subparagraph G(1) of this section 

for which it was unable to collect the required self-certification or 

other documentation pursuant to the procedures described in 

subparagraph G(2)(a) of this section. In addition, by the date that is

one year after the date of entry into force of this Agreement, 

Reporting Curaçao Financial Institutions must: (i) with respect to 

such closed accounts that prior to such closure were New 

Individual Accounts (without regard to whether such accounts were 

High Value Accounts), perform the due diligence procedures 

specified in paragraph D of section II of this Annex I, or (ii) with 

respect to such closed accounts that prior to such closure were 
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New Entity Accounts, perform the due diligence procedures 

specified in section IV of this Annex I.

d) Curaçao must report on any closed account that is identified 

pursuant to subparagraph G(2)(c) of this section as a U.S. 

Reportable Account or as an account held by a Nonparticipating 

Financial Institution, as applicable, by the date that is the later of: (i) 

September 30 next following the date that the account is identified 

as a U.S. Reportable Account or as an account held by a 

Nonparticipating Financial Institution, as applicable, or (ii) 90 days 

after the account is identified as a U.S. Reportable Account or as 

an account held by a Nonparticipating Financial Institution, as 

applicable. The information required to be reported for such a 

closed account is any information that would have been reportable 

under this Agreement if the account had been identified as a U.S. 

Reportable Account or as an account held by a Nonparticipating 

Financial Institution, as applicable, as of the date the account was 

opened.

H. Alternative Procedures for New Entity Accounts Opened on or after 

July 1, 2014, and before January 1, 2015. For New Entity Accounts 

opened on or after July 1, 2014, and before January 1, 2015, either with 

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

identified group of such accounts, Curaçao may permit Reporting Curaçao 

Financial Institutions to treat such accounts as Preexisting Entity Accounts 

and apply the due diligence procedures related to Preexisting Entity 

Accounts specified in section IV of this Annex I in lieu of the due diligence 

procedures specified in section V of this Annex I. In this case, the due 

diligence procedures of section IV of this Annex I must be applied without 

regard to the account balance or value threshold specified in paragraph A 

of section IV of this Annex I.
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ANNEX II

The following Entities shall be treated as exempt beneficial owners or deemedcompliant 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 Curaçao and the United States: (1) to include additional 

Entities, accounts and products 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, accounts, and 

products described in this Annex II as of the date of signature of the Agreement; or (2) 

to remove Entities, accounts and products 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 6 of Article 

3 of the Agreement. 

I. Exempt Beneficial Owners other than Funds.

The following Entities shall be treated as Non-Reporting Curaçao 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 Curaçao, any political 

subdivision thereof (which, for the avoidance of doubt, includes a state, 

province, county, or municipality), or any wholly owned agency or 

instrumentality of Curaçao or any one or more of the foregoing (each, a 

“Curaçao Governmental Entity”). This category is comprised of the integral 

parts, controlled entities, and political subdivisions of Curaçao. 

1. An integral part of Curaçao means any person, organization, agency, 

bureau, fund, instrumentality, or other body, however designated, that 

constitutes a governing authority of Curaçao. The net earnings of the 

governing authority must be credited to its own account or to other 

accounts of Curaçao, 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. 
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2. A controlled entity means an Entity that is separate in form from 

Curaçao or that otherwise constitutes a separate juridical entity, 

provided that: 

a) The Entity is wholly owned and controlled by one or more 

Curaçao 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 Curaçao Governmental Entities, 

with no portion of its income inuring to the benefit of any private 

person; and 

c) The Entity’s assets vest in one or more Curaçao Governmental 

Entities upon dissolution. 

3. Income does not inure to the benefit of private persons if 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. Central Bank. An institution that is by law or government sanction the 

principal authority, other than the Government of Curaçao itself, issuing 

instruments intended to circulate as currency. Such an institution may 

include an instrumentality that is separate from the government of Curaçao, 

whether or not owned in whole or in part by Curaçao.

C. International Organization. Any International Organization and any 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 Curaçao; and (3) the income of which does 

not inure to the benefit of private persons. 

II. Funds that Qualify as Exempt Beneficial Owners.

The following Entities shall be treated as Non-Reporting Curaçao Financial 

Institutions and as exempt beneficial owners for purposes of sections 1471 and 

1472 of the U.S. Internal Revenue Code. 

A. Broad Participation Retirement Fund. A fund established in Curaçao 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: 
-41-

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 

to the tax authorities in Curaçao; and 

3. Satisfies at least one of the following requirements: 

a) The fund is generally exempt from tax in Curaçao on investment 

income under the laws of Curaçao 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 C 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 C 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. 

B. Narrow Participation Retirement Fund. A fund established in Curaçao 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 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 Curaçao are not entitled to more 

than 20 percent of the fund’s assets; and 
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5. The fund is subject to government regulation and provides information 

reporting to the tax authorities in Curaçao.

C. Pension Fund of an Exempt Beneficial Owner. A fund established in 

Curaçao by an exempt beneficial owner to provide retirement, disability, or 

death benefits to 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. 

D. Investment Entity Wholly Owned by Exempt Beneficial Owners. An 

Entity that is a Curaçao 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. 

III. Small or Limited Scope Financial Institutions that Qualify as DeemedCompliant Financial Institutions.

The following Financial Institutions are treated as Non-Reporting Curaçao 

Financial Institutions and as deemed-compliant FFIs for purposes of section 1471 

of the U.S. Internal Revenue Code: 

A. Financial Institutions with a Local Client Base. Any Financial Institution 

that meets all of the following requirements:

1. The Financial Institution must be licensed and regulated under the 

laws of Curaçao; 

2. The Financial Institution must have no fixed place of business outside 

Curaçao. 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; 
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3. The Financial Institution must not solicit account holders outside 

Curaçao. For this purpose, a Financial Institution shall not be 

considered to have solicited account holders outside of Curaçao 

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 Curaçao 

but is also incidentally distributed or aired in other countries, provided 

that the advertisement 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;

4. The Financial Institution must be required under the tax laws of 

Curaçao 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 Curaçao’s 

AML due diligence requirements; 

5. At least 98 percent of the Financial Accounts by value maintained by 

the Financial Institution must be held by residents (including residents 

that are entities) of Curaçao; 

6. Beginning on 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 Curaçao (including a 

U.S. Person that was a resident of Curaçao when the account was 

opened but subsequently ceases to be a resident of Curaçao) or any 

Passive NFFE with Controlling Persons who are U.S. citizens or 

residents who are not residents of Curaçao; 

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 

Curaçao or by a Passive NFFE with Controlling Persons who are U.S. 

residents or U.S. citizens who are not residents of Curaçao is 

identified, the Financial Institution must report such Financial Account 

as would be required if the Financial Institution were a Reporting 

Curaçao Financial Institution (including by following the applicable 

registration requirements on the IRS FATCA registration website) or 

close such Financial Account;
-44-

8. With respect to a Preexisting Account held by an individual who is not 

a resident of Curaçao 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. Reportable 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 Curaçao Financial Institution (including by following the 

applicable registration requirements on the IRS FATCA registration 

website) or close such Financial Account;

9. Each Related Entity of the Financial Institution must be established in 

Curaçao and, with the exception of any Related Entity that is a 

retirement fund described in paragraphs A through C of section I of 

this Annex II, meet the requirements set forth in this paragraph A; and 

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 Curaçao. 

B. Local Bank. A Financial Institution satisfying the following requirements: 

1. The Financial Institution operates solely as (and is licensed and 

regulated under the laws of Curaçao 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 
-45-

5. Any Related Entity must be established in Curaçao, 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 C 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. A Curaçao 

Financial Institution satisfying the following requirements: 

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 

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. Qualified Credit Card Issuer. A Curaçao Financial Institution satisfying the 

following requirements: 

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; and 

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. 

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 

Non-Reporting Curaçao Financial Institutions that shall be treated as deemedcompliant FFIs 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. 
-46-

A. Trustee-Documented Trust. A trust established under the laws of Curaçao 

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. Reportable Accounts of the trust. 

B. 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. 

1. A Financial Institution is a sponsored investment entity if (a) it is an 

Investment Entity established in Curaçao 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 corporation 

organized under the laws of Curaçao 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 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, foundation board member, or managing partner) to 

fulfill applicable registration requirements on the IRS FATCA 

registration website; 

b) The sponsoring entity has registered as a sponsoring entity with 

the IRS on the IRS FATCA registration website; 

c) If the sponsoring entity identifies any U.S. Reportable Accounts 

with respect to the Financial Institution, the sponsoring entity 

registers the Financial Institution pursuant to applicable 

registration requirements on the IRS FATCA registration website 

on or before the later of December 31, 2015 and the date that is 

90 days after such a U.S. Reportable Account is first identified; 
-47-

d) 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 Curaçao 

Financial Institution;

e) The sponsoring entity identifies the Financial Institution and 

includes the identifying number of the Financial Institution 

(obtained by following applicable registration requirements on 

the IRS FATCA registration website) in all reporting completed 

on the Financial Institution’s behalf; and 

f) The sponsoring entity has not had its status as a sponsor 

revoked. 

C. Sponsored, Closely Held Investment Vehicle. A Curaçao Financial 

Institution satisfying the following requirements: 

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, corporate director, foundation board member, or managing 

partner), and 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 Curaçao 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 Curaçao 

Financial Institution and retains documentation collected with 

respect to the Financial Institution for a period of six years; 
-48-

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. 

D. Investment Advisors and Investment Managers. An Investment Entity 

resident in Curaçao the sole activity of which is (1) to render investment 

advice to, and act on behalf of, or (2) to manage portfolios for, a customer 

based on a power of attorney or similar instrument (e.g., an investment 

authority) issued by the holder of a Financial Account or based on 

investment powers in a directorship capacity for the purposes of investing, 

managing, or administering funds deposited in the name of the person or 

Entity granting the power or issuing the similar instrument with a Financial 

Institution other than a Nonparticipating Financial Institution. 

E. Certain Collective Investment Vehicles. An Investment Entity established 

in Curaçao 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. 

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 that is regulated as a collective investment 

vehicle under the laws of a Partner Jurisdiction, 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 a Curaçao 

Financial Institution (other than a Financial Institution through which 

interests in the collective investment vehicle are held) shall be 

deemed fulfilled. 
-49-

3. With respect to interests in an Investment Entity that is a collective 

investment vehicle resident in Curaçao not described in paragraph E 

or subparagraph F(2) of this section, consistent with paragraph 3 of 

Article 5 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 the 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 Curaçao 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 deemedcompliant FFI, solely because the collective investment vehicle has 

issued physical shares in bearer form, provided that: 

a) The collective investment vehicle has not issued, and does not 

issue, any physical shares in bearer form after December 31, 

2012; 

b) The collective investment vehicle retires all such shares upon 

surrender; 

c) The collective investment vehicle (or a Reporting Curaçao 

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 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. Reportable Accounts.

A. Certain Savings Accounts.

1. Retirement and Pension Account. A retirement or pension account 

maintained in Curaçao that satisfies the following requirements under 

the laws of Curaçao. 

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 Curaçao 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); 
-50-

c) Annual information reporting is required to the tax authorities in 

Curaçao 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) Either (i) annual contributions are limited to $50,000 or less, or 

(ii) there is a maximum lifetime contribution limit to the account 

of $1,000,000 or less, in each case applying the rules set forth 

in Annex I for account aggregation and currency translation. 

2. Non-Retirement Savings Accounts. An account maintained in Curaçao 

(other than an insurance or Annuity Contract) that satisfies the 

following requirements under the laws of Curaçao. 

a) The account is subject to regulation as a savings vehicle for 

purposes other than for retirement; 

b) The account is tax-favored (i.e., contributions to the account that 

would otherwise be subject to tax under the laws of Curaçao 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 Curaçao 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. 
-51-

C. Account Held By an Estate. An account maintained in Curaçao 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 Curaçao 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 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. Partner Jurisdiction Accounts. An account maintained in Curaçao 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.
-52-

VI. Definitions. 

The following additional definitions 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 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 non-U.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 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.