I want to recommend a book that should be of interest to all IBS contributors/readers:
Nicholas Shaxson, Treasure Islands: Tax Havens and the Men Who Stole the World. London, 2011.
[editors note: zuludogm has also provided a review of this book]
FATCA and other US initiatives are meant to curtail tax evasion through off-shore tax havens. Or, so we are led to believe. Shaxson shows, with ample documentation, that the US and the UK are the biggest tax havens in the world. Foreigners (“non-resident aliens” in tax lingo) can maintain tax-free savings and investment accounts in the US. Anti-tax evasion measures taken by the US are chiefly aimed at preventing US citizens utilizing tax evasion strategies intended to attract non-US investment.