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Archive for FATCA

FATCA: How Does The Meadows Bill Interact?

John Richardson

(This is a continuation of a previous post by John Richardson titled, “Introducing FATCA – What Does It Mean In Your Life?” It gives a great summary of FATCA and leads directly into this article.)

First, About the FATCA legislation …

2012 – The world according to FATCA – For the compliance industry: “The Gift That Just Keeps on Giving.”

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Introducing FATCA – What Does It Mean In Your Life?

John Richardson, FATCA,

Be patient. Settle in for the ride. Historians will write much about the role FATCA played in eroding America’s role as a world power.

There is no legislative record which explains the purpose of FATCA. FATCA appeared as an “offset provision” in the HIRE Act which was signed into law by President Obama in March of 2010. Some claim that FATCA was for the purpose of preventing Homeland Americans from “stashing their wealth” in unreported “foreign bank accounts” outside the United States.

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How The U.S. Can Leverage FATCA Bilateral Process

TaxConnections Member Professor William Byrnes examines whether it is prudent for taxpayers to trust the governments of the 117 countries that scored a fifty or below on Transparency International’s corruption index. The complete information system invoked by the Foreign Account Tax Compliance Act (FATCA) encourages, even prolongs, the bad behavior of black hat governments by providing fuel (financial information) to feed the fire of corruption and suppression of rivals. Professor Byrnes recommends that the United States leverage a “carrot-stick” policy tool to incentivize bad actors to adopt best tax administration practices.

Article download at https://ssrn.com/abstract=2916444

Nigel Green: ‘My Fight To Repeal FATCA’

The Foreign Account Tax Compliance Act was signed into law by President Obama in March, 2010; a few months later, the deVere Group announced that it would begin to formally start looking after American expatriate clients.

Here, Green discusses his opposition to FATCA and why it remains a priority, even at a time when other issues, including the changing landscape for UK pension transfers, are also demanding his attention.

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FATCA Repeal On Agenda Of U.S. Republicans

Source: Repeal FATCA.

Washington’s Foreign Accounts Tax Compliance Act, known as FATCA, will be assailed afresh as lawyers and lobbyists renew efforts to repeal the law as part of President Donald Trump’s tax reform.

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FATCA Inquisition For Canadians Applying For Life Insurance

John Richardson

Sad but true. It’s quite understandable that from a “U.S. Worldview” that a life insurance policy is nothing but a “sacred instrument of tax deferral” (and therefore of tax evasion). U.S. citizens are the most highly regulated people in the world. As such it is no surprise that the possible purchase of life insurance could trigger FATCA scrutiny. (In that “Shining city on the hill” those who purchase life insurance are clearly “up to no good” – “no good at all!”)

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“Accidental Americans” Caught In A Kafkaean Trap

Kat Jennings

This article was passed along to us and was originally printed in French for the French magazine L’obs. Due to its dealings with FATCA, we decided to post it for you.

A recent US tax law requires all nationals to report their income. Those who were born by chance in the United States like Fabien live a nightmare.

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Ending FATCA: Keith Redmond On The Harm Of FATCA And Universal Tax Jurisdiction

Keith Redmond

For this blog post, we bring an interview with Keith Redmond, a Multi-Cultural Global Management Executive working with cross cultural issues for over 20 years, who is currently the International Senior Consultant at Leaders Across Borders.

Keith is an American overseas, based in France. He has strong views about the harm of FATCA unfairly punishing a large group of Americans who are living overseas. He is fighting for these views by testifying in Congress in January.

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Exposé On The Cost For An Accidental American Under FATCA

William Byrnes

An interesting read by the Telegraph that walks an Accidental American through the process of renunciation of American citizenship to avoid paying a life time of US taxes, penalties, interest, and potentially criminal offences for non-filing. Read it here. Excerpts below:

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IRS Provides Legal Advice When Data Exchange With Foreign Countries is Confidential

Ronald Marini

In Legal Advice Issued by Associate Chief Counsel 2016-004, the IRS has given its opinion on the exact moment when information that it provides to and receives from foreign tax administrations via the Organization for Economic Cooperation and Development’s Common Transmission System becomes protected under the Code’s confidentiality rules. Legal Advice Issued by Associate Chief Counsel 2016-004.

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Is Form 8938 Required By “Green Card Holders” Who Are Nonresidents By “Treaty Tie Breaker”?

John Ricahrdson

The context: Form 8938 was created by the IRS to meet the reporting requirements mandated by Internal Revenue Code S. 6038D. S. 6038D was mandated by S. 511 of the HIRE Act.

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Singapore is Now Automatically Sharing Your Account Information!

Ron Marini

On July 25, 2016, we posted Tax Havens Coming Clean and Becoming Transparent where we discussed that the Inland Revenue Authority of Singapore has issued an e-Tax Guide on the territory’s general anti-avoidance rule in Section 33 of the Income Tax Act. The guide, issued on July 11, 2016, explains the three tests to determine whether the GAAR should apply.

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