FATCA Is Now A FACT-A..

[schuylaar]

let the babies' blubbering begin..



http://www.sifma.org/issues/tax/foreign-account-tax-compliance-act-(fatca)/overview/

the highlights:

These rules are commonly referred to as the Foreign Account Tax Compliance Act rules or "FATCA." The FATCA provisions impose a 30 percent withholding tax on payments to a foreign financial institution (FFI) of U.S. source interest, dividends, rents, salaries, or gross proceeds from the sale of U.S. assets.

FATCA is a key component of the federal government's push for heightened tax compliance among U.S. taxpayers with foreign accounts. FATCA was implemented to ensure the U.S. government has the necessary tools to effectively to determine the ownership of U.S. assets in foreign accounts.

January 1, 2015

Begin withholding on non-compliant banks and broker-dealers in non-IGA jurisdictions

Position
FATCA is the most comprehensive statute ever passed to enhance compliance by Americans with U.S. tax laws through information reporting and withholding. Virtually the entire burden for implementing the new law falls on U.S. and foreign financial services firms. The final FATCA rules are significantly impacting the systems and operations of both U.S. and non-U.S. companies. They will require companies to modify their internal systems, control frameworks, processes and procedures on or before key FATCA implementation dates go into effect.

SIFMA shares the objective of Congress and Treasury to improve offshore tax compliance. SIFMA has submitted extensive comments to assist the Department of the Treasury and the IRS in crafting regulations that are effective in accomplishing FATCA's goals that are commercially viable, and that will not unnecessarily disrupt the operation of the financial markets. SIFMA thanks the Treasury for the latest notice implementing a transition period which will allow financial institutions to comply more effectively while minimizing unnecessary
cost burdens and reducing potential harm to the U.S. economy in the long-run. This new guidance will also allow extra time for more economies to sign intergovernmental agreements, to make the official transition to FATCA in 2015 more comprehensive and with fewer penalties.

Schuylaar's favorite part

"Penalties of as much as $100,000 can be imposed on you for failing to disclose participation in reportable transactions. These transactions are certain arrangements the IRS has identified as potentially abusive. We will insist that all such transactions be properly disclosed. The law also imposes penalties when taxpayers understate their tax liability. In addition, there are substantial penalties for failure to disclose interests in or signature authority in or over foreign bank or brokerage accounts where the aggregate value of all foreign accounts exceeds $10,000 at any time during the year." ~ South Florida CPA

 

[UncleBuck]

*****

 

[schuylaar]

*****

my pleasure

 

[heckler73]

More than 30 countries have signed Intergovernmental Agreements (IGAs) with the U.S. and many others have reached "agreements in substance" and are being treated by the Treasury as having an IGA in effect.

Luckily, one can use the FFI List search tool to see if their favourite institutions are listed.
I see Peter Schiff has complied (Euro Pac). Maybe that's why his clients have drawn down and reduced his AUM to <$600Mn

http://apps.irs.gov/app/fatcaFfiList/flu.jsf

 

[schuylaar]

More than 30 countries have signed Intergovernmental Agreements (IGAs) with the U.S. and many others have reached "agreements in substance" and are being treated by the Treasury as having an IGA in effect.
Luckily, one can use the FFI List search tool to see if their favourite institutions are listed.
I see Peter Schiff has complied (Euro Pac). Maybe that's why his clients have drawn down and reduced his AUM to <$600Mn

http://apps.irs.gov/app/fatcaFfiList/flu.jsf

 

[schuylaar]

and not a creature was stirring, not even a rightie rat.

 

[NoDrama]

"Penalties of as much as $100,000 can be imposed on you"

The very wealthy will see a $100,000 penalty as just a cost of business and will continue to hold money in foreign accounts away from prying eyes.

By "you" they mean the middle class person. Corporations and shell companies will still be able to do what they want, but when the government starts getting its tentacles on all the money everywhere, that is a sure sign that this nation is going in the shitter. When Rome started finding more and more ways to tax people, the rich left and went elsewhere, leaving the poor to take up the slack. in 2001 there were an average of something like 170 people denouncing their citizenship per year, now its almost 800, and that number is just going to keep going up.

So while there may be a slight increase in taxes collected for a couple of years (it takes a while to denounce and is costly), there will be an even bigger sucking sound (Thanks Ross) coming from other countries as the well-to-do relocate, leaving the rest of Americans to take on the burden themselves.


You want change? Pitchforks and torches will be all that remains for you when you finally realize what happened on Sept 11, 2001..

 

[schuylaar]

The very wealthy will see a $100,000 penalty as just a cost of business and will continue to hold money in foreign accounts away from prying eyes.

By "you" they mean the middle class person. Corporations and shell companies will still be able to do what they want, but when the government starts getting its tentacles on all the money everywhere, that is a sure sign that this nation is going in the shitter. When Rome started finding more and more ways to tax people, the rich left and went elsewhere, leaving the poor to take up the slack. in 2001 there were an average of something like 170 people denouncing their citizenship per year, now its almost 800, and that number is just going to keep going up.

So while there may be a slight increase in taxes collected for a couple of years (it takes a while to denounce and is costly), there will be an even bigger sucking sound (Thanks Ross) coming from other countries as the well-to-do relocate, leaving the rest of Americans to take on the burden themselves.


You want change? Pitchforks and torches will be all that remains for you when you finally realize what happened on Sept 11, 2001..

word is out obama has 3 key issues he wants to reform before he's done..numero uno: tax code..it's a mad, mad, mad world my friend..enemies become instant bedfellows

http://www.wsj.com/articles/john-bo...nell-now-we-can-get-congress-going-1415232759

http://thehill.com/blogs/blog-briefing-room/news/219120-tax-reform-highway-bill-doable-boehner-says

EDIT: i just want to thank you for freely stating what we already knew

 

[NoDrama]

word is out obama has 3 key issues he wants to reform before he's done..numero uno: tax code..it's a mad, mad, mad world my friend..enemies become instant bedfellows

http://www.wsj.com/articles/john-bo...nell-now-we-can-get-congress-going-1415232759

http://thehill.com/blogs/blog-briefing-room/news/219120-tax-reform-highway-bill-doable-boehner-says

EDIT: i just want to thank you for freely stating what we already knew

Wait, the big banks are the ones hiding all the money, not John Johnson down the street. They already got laws passed making you and I the ones holding the bag.

BTW why would you think Obama was an enemy to me? I haven't spoken badly of the president much at all, in fact I have praised him on many occasions.
IF Obama can get the tax code worked out so that the wealthy pay MORE, and the middle class and poor PAY LESS, then I am all for it. BTW, almost all of my net wealth is wrapped up in land and farm implements, my income puts me near the middle of the middle class. I am not wealthy by any means unless I sell everything I own and lose my sole means of income in the process.

 

[schuylaar]

Wait, the big banks are the ones hiding all the money, not John Johnson down the street. They already got laws passed making you and I the ones holding the bag.

BTW why would you think Obama was an enemy to me? I haven't spoken badly of the president much at all, in fact I have praised him on many occasions.
IF Obama can get the tax code worked out so that the wealthy pay MORE, and the middle class and poor PAY LESS, then I am all for it. BTW, almost all of my net wealth is wrapped up in land and farm implements, my income puts me near the middle of the middle class. I am not wealthy by any means unless I sell everything I own and lose my sole means of income in the process.

next christmas buy your blood diamonds from tiffanys; they mine their own.

 

[Dr Kynes]

my pleasure

next christmas buy your blood diamonds from tiffanys; they mine their own.

cuz acting liek a growup is for suckers!


nice work, you really showed those mean ole rich white people with your animated gifs and snide allusions on a dope forum.

why, i bet when he reads your thread, Mitt Romney will see how clever you are, and realize he was totally wrong all this time.

i bet he takes all his money out of the bank in singles and throws it to the wind!

he will probably renounce mormonism too, cuz youre so persuasive and shit.

 

[schuylaar]

cuz acting liek a growup is for suckers!


nice work, you really showed those mean ole rich white people with your animated gifs and snide allusions on a dope forum.

why, i bet when he reads your thread, Mitt Romney will see how clever you are, and realize he was totally wrong all this time.

i bet he takes all his money out of the bank in singles and throws it to the wind!

he will probably renounce mormonism too, cuz youre so persuasive and shit.

and you're here becaussssssse?

 

[UncleBuck]

and you're here becaussssssse?

because ritt momney needs the moral support that only kynes can provide.

 

[Dr Kynes]

and you're here becaussssssse?

i WAS gonna argue that "Facta" is just as stupid now as it was when it was first written back in ~20 bc.

but when i saw the juvenile and idiotic level of discourse i got distracted

now, back on track, here ya go:

lefty ideas are not new, and as usual the "authors" of "Facta" failed to credit the original author of their work, Gaius Julius Caesar Augustus, who already declared "All The World Must Be Taxed"

taxation leads to tax collectors, which leads to resistance, which requires enforcers to protect the taxman and ensure "compliance", which leads to empire, which, inevitably leads to overextension of the state's power which leads to a foolish emperor who turns the whole thing to shit.

maybe youre not aware of this but did you know, if you move to the south of france, with no intention of ever returning to the US, get a job as a waitress at a cafe on the beach, the IRS expects you to pay US taxes on your wages and tips? (and that is in ADDITION to the french taxes you are required to pay)

ohh it's true.

All The World Must Be Taxed.

now, with "Facta" no money is safe from the clutching greedy hands of the IRS.

the lefties drove industry out of america, now, they want to chase it out of other nations.

soon all industry will be concentrated in China, North Korea and the lawless frontiers of Afpak, the only places where the IRS cant expect to force "compliance" with their decrees.

you prolly think "Facta" is the end of this story, cuz, it's "law" now.

you forget that "Law" is just the beginning, and "Regulation" is what comes next.

ensuring smooth and effective enforcement and guaranteeing "compliance" will require reams and reams of regulations, all made by decree from some facele3ss bureaucrat who can NOT ever be held to account for his decisions, and each decree will have the force of "law" behind it until it is overturned by the courts (which rarely ever happens)

one shiny new unconstitutional power to tax foreign money will inevitably lead to a dazzling myriad of regulations, a minefeild laced with trpiwires, tiger pits, deadfalls, snares, bear traps and punji sticks.

plus, you know, the god damned MINES too...

i see why you are celebrating.

this is some Good News here.

 

[UncleBuck]

i WAS gonna argue that "Facta" is just as stupid now as it was when it was first written back in ~20 bc.

but when i saw the juvenile and idiotic level of discourse i got distracted

now, back on track, here ya go:

lefty ideas are not new, and as usual the "authors" of "Facta" failed to credit the original author of their work, Gaius Julius Caesar Augustus, who already declared "All The World Must Be Taxed"

taxation leads to tax collectors, which leads to resistance, which requires enforcers to protect the taxman and ensure "compliance", which leads to empire, which, inevitably leads to overextension of the state's power which leads to a foolish emperor who turns the whole thing to shit.

maybe youre not aware of this but did you know, if you move to the south of france, with no intention of ever returning to the US, get a job as a waitress at a cafe on the beach, the IRS expects you to pay US taxes on your wages and tips? (and that is in ADDITION to the french taxes you are required to pay)

ohh it's true.

All The World Must Be Taxed.

now, with "Facta" no money is safe from the clutching greedy hands of the IRS.

the lefties drove industry out of america, now, they want to chase it out of other nations.

soon all industry will be concentrated in China, North Korea and the lawless frontiers of Afpak, the only places where the IRS cant expect to force "compliance" with their decrees.

you prolly think "Facta" is the end of this story, cuz, it's "law" now.

you forget that "Law" is just the beginning, and "Regulation" is what comes next.

ensuring smooth and effective enforcement and guaranteeing "compliance" will require reams and reams of regulations, all made by decree from some facele3ss bureaucrat who can NOT ever be held to account for his decisions, and each decree will have the force of "law" behind it until it is overturned by the courts (which rarely ever happens)

one shiny new unconstitutional power to tax foreign money will inevitably lead to a dazzling myriad of regulations, a minefeild laced with trpiwires, tiger pits, deadfalls, snares, bear traps and punji sticks.

plus, you know, the god damned MINES too...

i see why you are celebrating.

this is some Good News here.

lol, meltdown.

 

[heckler73]

maybe youre not aware of this but did you know, if you move to the south of france, with no intention of ever returning to the US, get a job as a waitress at a cafe on the beach, the IRS expects you to pay US taxes on your wages and tips? (and that is in ADDITION to the french taxes you are required to pay)

That's one part of the US Tax Code I've never understood. In Canada, once you are gone 6 months, your 'duty' to pay taxes stops (at least on personal income) and your income overseas is not a factor (unless you bring all that great wealth back to Canada) IIRC. So what is the purpose of such over-reaching by the IRS? Is it because the tax system in the US is so broken and full of loopholes, it's the only way they can guarantee a reduction of game-playing?
That means the code really needs an overhaul, if that's the case.

 

[Dr Kynes]

That's one part of the US Tax Code I've never understood. In Canada, once you are gone 6 months, your 'duty' to pay taxes stops (at least on personal income) and your income overseas is not a factor (unless you bring all that great wealth back to Canada) IIRC. So what is the purpose of such over-reaching by the IRS? Is it because the tax system in the US is so broken and full of loopholes, it's the only way they can guarantee a reduction of game-playing?
That means the code really needs an overhaul, if that's the case.

ohh it's true.

absolutely true.

If you are a U.S. citizen or resident alien, the rules for filing income, estate, and gift tax returns and paying estimated tax are generally the same whether you are in the United States or abroad. Your worldwide income is subject to U.S. income tax, regardless of where you reside.

~ http://www.irs.gov/Individuals/International-Taxpayers/U.S.-Citizens-and-Resident-Aliens-Abroad

 

[heckler73]

ohh it's true.

absolutely true.

If you are a U.S. citizen or resident alien, the rules for filing income, estate, and gift tax returns and paying estimated tax are generally the same whether you are in the United States or abroad. Your worldwide income is subject to U.S. income tax, regardless of where you reside.

~ http://www.irs.gov/Individuals/International-Taxpayers/U.S.-Citizens-and-Resident-Aliens-Abroad

I comprehend that aspect, it's the why part which I don't understand.

 

[Dr Kynes]

I comprehend that aspect, it's the why part which I don't understand.

thats actually the simple part f the equation.

the IRS doesnt want to let even one shekel hit the ground before they take their bite of it.

it's greed, plain and simple.

if anyone anywhere can escape the grasp of the IRS then they dont have total control, and they really really really want total control.

 

[overgrowem]

ohh it's true.

absolutely true.

If you are a U.S. citizen or resident alien, the rules for filing income, estate, and gift tax returns and paying estimated tax are generally the same whether you are in the United States or abroad. Your worldwide income is subject to U.S. income tax, regardless of where you reside.

~ http://www.irs.gov/Individuals/International-Taxpayers/U.S.-Citizens-and-Resident-Aliens-Abroad

"Corps. ARE people my friend". They have several ways of not paying taxes, burgers move to Canada, techs move to Ireland,oil just holds money offshore in perpetuity, every trade deal cuts what the US. might collect and every ceo thinks full time about how Uncle Sam has invited his biz. off- shore , corps. that have a whiff of success leave at an ever rapid pace. Corps. don't pay our confiscatory estate taxes, etc. etc ............