FIA Tech launches new data service for IRS 871(m)
18 June 2025 US
Image: stock.adobe.com/Kevin
FIA Tech has launched a new data service in response to compliance demands of the tax regulation 871(m) for exchange traded derivatives.
The new service, using exchange traded derivative (ETD) products and underlying reference data within FIA Tech’s Databank Network, can determine if a product is classified as “qualified” or “non-qualified” per IRS regulations.
The US Internal Revenue Service (IRS) and the US Treasury Department released final regulations under Section 871(m) of the Internal Revenue Code in September 2015. These established regulations regarding the withholding of “dividend equivalent payments” on derivatives that reference US equity securities.
Andrew Castello, senior vice president, head of client operations at FIA Tech, says: “Our 871(m) solution is a powerful addition to our end-to-end regulatory support for ETD clients — streamlining compliance in a complex landscape.”
The new service, using exchange traded derivative (ETD) products and underlying reference data within FIA Tech’s Databank Network, can determine if a product is classified as “qualified” or “non-qualified” per IRS regulations.
The US Internal Revenue Service (IRS) and the US Treasury Department released final regulations under Section 871(m) of the Internal Revenue Code in September 2015. These established regulations regarding the withholding of “dividend equivalent payments” on derivatives that reference US equity securities.
Andrew Castello, senior vice president, head of client operations at FIA Tech, says: “Our 871(m) solution is a powerful addition to our end-to-end regulatory support for ETD clients — streamlining compliance in a complex landscape.”
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