On August 27, 2010, the U.S. Internal Revenue Service IRS issued Notice 2010-60 the Notice, which provides preliminary guidance on the implementation of the new information reporting and withholding laws enacted under the Hiring Incentives to Restore Employment Act HIRE Act. The HIRE Act expanded the information reporting requirements imposed on foreign financial institutions FFIs for certain U.S. accounts, and imposes withholding, documentation, and reporting requirements for certain payments made to specified foreign entities. The new rules are designed to ensure that U.S. persons are paying U.S. tax on income earned through foreign accounts and that proper withholding applies to foreign persons. The effective date for the new withholding regime is January 1, 2013, with certain grandfather provisions for debt obligations that are outstanding two years after March 18, 2010 the HIRE Acts date of enactment.