This article was written by Giles Gibson in Hong Kong. The article is not bad, better than most and certainly the best I’ve seen at huffingtonpost, but he seems to think that FATCA is only a concern for wealthy American citizens abroad (a typical Huff problem). I used to think so too, until I personally learned otherwise. The article could use some additional commentary about the types of people FATCA is having an impact upon and the innocent being harmed by “IRS’s relentless pursuit of U.S. tax evaders abroad, whatever the cost”. The concept of “whatever the cost” could be used to justify crimes against humanity and FATCA is certainly a case of national origin discrimination (which is a federal crime in the US).
FATCA: The U.S. Flexes Its Waning Economic Muscle Abroad
11/06/2012 11:36 am
The Foreign Account Tax Compliance Act (FATCA). Typical of the taxman’s inimitable use of the English language worldwide, the title doesn’t exactly sound particularly menacing. However, the shockwaves from this recent piece of legislation from the U.S. Internal Revenue Service (IRS) are being felt around the financial world.
FATCA is aimed at targeting tax avoidance by U.S. citizens and entities abroad. Unlike most countries, American expatriates are still expected to pay tax at home on their income earned abroad. The IRS feels that many Americans are not taking this responsibility seriously enough. Their plan is simple: bring in tough new legislation to force foreign financial institutions to give up details about their U.S. citizen clients, leaving potential tax evaders with nowhere to hide….