Although the Treasury Department and IRS had published final regulations in August of 2010 to assist PSEs in the reporting of such transactions, the IRS recently issued a series of separate Notices which respond to comments received on the final regulations and provide:
- Relaxation in the Documentation Requirements for U.S. Payors Making Payment Outside the United States to an Offshore Account
- Relief to Insurance Companies that Administer Certain Insurance Arrangements
- Postponement of Backup Withholding Requirement for Payment Card and Third Party Network Payments
- Transitional Penalty Relief for information returns and payee statements to be filed for payments made in calendar year 2011 on Payment Card and Third Party Network Transactions.