The Isaac Brock Society

Treasure Islands

Posted on May 7, 2012 by Northern Shrike Posted in Issues regarding US persons abroad 9 Comments

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.

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Taiwan banks having second thoughts about FATCA?

Posted on May 7, 2012 by Eric Posted in Issues regarding US persons abroad 3 Comments

The latest FATCA news from Taiwan and mainland China: Taiwan banks are busy worrying about the mainland’s attitude, but Beijing is still not releasing any details besides confirming the fact that FATCA discussions with Washington are underway. On the bright side, the lack of confirmation about the mainland’s final disposition towards FATCA seems to be spooking banks in Taiwan. They certainly seem less confident in their original “bright idea” of solving all their problems by shredding Taiwan’s consumer data privacy laws in order to reduce their costs of complying with FATCA — because they realised they might also face issues in other major markets where they have far less lobbying power to encourage similar “solutions”. Translations below.

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François Hollande defeats Nicolas Sarkozy in France

Posted on May 7, 2012 by Jefferson D. Tomas Posted in Issues regarding US persons abroad 33 Comments

I am surprised that nobody has yet posted about the results of Sunday’s second (and final) round of the French presidential election. François Hollande (socialist) defeated Nicolas Sarkozy (center-right?) by a few percent and will be in office shortly.

BBC : http://www.bbc.co.uk/news/world-europe-17975660

Le Monde (major French newspaper): http://www.lemonde.fr/election-presidentielle-2012/

Swiss Francophone TV : http://www.rts.ch/info/monde/3974074-l-election-de-francois-hollande-n-est-pas-une-revolution-estime-la-presse.html

I wonder what this means for negotiations about FATCA ? @Victoria? My gut feeling is that the socialists would be rather FATCA-friendly, but I believe that the socialists in France are also very interested in civil rights and anti-discrimination. I believe that somebody needs to be lobbying his new administration so that they can know the truth about what the US is trying to do (especially FATCA, but also FBAR and double taxation) before State and Treasury start trying to pull the wool over his eyes.

I just heard on CNN that Putin just won another term as President of Russia, and now the Constitution has been modified so that one can serve 6 terms.