Payments to a territory financial institution Sample Clauses

Payments to a territory financial institution. A withholding agent is not required to withhold under section 1471(a) and this section on a withholdable payment made to a payee that the withholding agent can treat as a territory financial institution that beneficially owns the payment in ac- cordance with § 1.1471–3(d)(10)(i). A withholding agent also is not required to withhold under this section on a withholdable payment that the with- holding agent can treat, in accordance with § 1.1471–3(d)(10)(ii), as made to a territory financial institution that is a flow-through entity or that acts as an intermediary with respect to the pay- ment and that has agreed to be treated as a U.S. person for purposes of chap- ters 3 and 4 with respect to the pay- ment. A territory financial institu- tion’s agreement to be treated as a U.S. person for purposes of this section must be evidenced by a withholding certificate described in § 1.1471– 3(c)(3)(iii)(F) furnished by the territory financial institution to the with- holding agent.
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