Withholdable payments to foreign financial institutions

In the case of any withholdable payment to a foreign financial institution which does not meet the requirements of subsection (b), the withholding agent with respect to such payment shall deduct and withhold from such payment a tax equal to 30 percent of the amount of such payment. The requirements of this subsection are met with respect to any foreign financial institution if an agreement is in effect between such institution and the Secretary under which such institution agrees— to deduct and withhold a tax equal to 30 percent of— in any case in which any foreign law would (but for a waiver described in clause (i)) prevent the reporting of any information referred to in this subsection or subsection (c) with respect to any United States account maintained by such institution— A foreign financial institution may be treated by the Secretary as meeting the requirements of this subsection if— such institution— In the case of a foreign financial institution which meets the requirements of this subsection and such other requirements as the Secretary may provide and which elects the application of this paragraph— the agreement described in paragraph (1) shall— The agreement described in subsection (b) shall require the foreign financial institution to report the following with respect to each United States account maintained by such institution: In the case of a foreign financial institution which elects the application of this paragraph— the agreement described in subsection (b) shall require such foreign financial institution to report such information with respect to each United States account maintained by such institution as such institution would be required to report under sections 6041, 6042, 6045, and 6049 if— In the case of a foreign financial institution which is treated as a qualified intermediary by the Secretary for purposes of section 1441 and the regulations issued thereunder, the requirements of this section shall be in addition to any reporting or other requirements imposed by the Secretary for purposes of such treatment. For purposes of this section— The term “United States account” means any financial account which is held by one or more specified United States persons or United States owned foreign entities. Unless the foreign financial institution elects to not have this subparagraph apply, such term shall not include any depository account maintained by such financial institution if— Such term shall not include any financial account in a foreign financial institution if— Except as otherwise provided by the Secretary, the term “financial account” means, with respect to any financial institution— The term “United States owned foreign entity” means any foreign entity which has one or more substantial United States owners. The term “foreign financial institution” means any financial institution which is a foreign entity. Except as otherwise provided by the Secretary, such term shall not include a financial institution which is organized under the laws of any possession of the United States. Except as otherwise provided by the Secretary, the term “financial institution” means any entity that— The term “recalcitrant account holder” means any account holder which— The term “passthru payment” means any withholdable payment or other payment to the extent attributable to a withholdable payment. The requirements of subsections (b) and (c)(1) shall apply— For purposes of this section, the term “expanded affiliated group” means an affiliated group as defined in section 1504(a), determined— Subsection (a) shall not apply to any payment to the extent that the beneficial owner of such payment is—