As a House companion bill to Senator Carl Levin’s S. 268: CUT Loopholes Act , this HR 1554 Stop Tax Haven Abuse Act by Rep. Lloyd Doggett [D-TX35] contains more FATCA complexity before the ink is dry on the current fiasco. Do a find on FATCA in the text, and it comes up 22 times starting with Sec. 102. Strengthening the Foreign Account Tax Compliance Act (FATCA)
So, they want to “strengthen” something that is not yet in full forces, as if 544 pages of regulations and then all the FATCA IGAs by Treasury isn’t enough! We need MORE!
It has 53 Democrat co-sponsors, and as Tim points out, some of the same ones that support the “Commission on Americans Living Abroad Act”, HR 597. I sometimes think they are clueless as to what they sponsor. With one hand they add complexity and with the other they call for Commissions to study the cumulative effects of their own creation which they can’t see. “Let’s have a Commission to tell us what we have done, shall we?”
Please vote to oppose this bill here, and change the graph which currently, because of the bill’s title, has 68% support right now.
Note: I encourage you to read all the changes in this bill and try to understand what it is they are proposing to do. This is one of the problems with how legislation is created. It becomes very difficult for the average person to understand what is buried in even a small 59 page bill because of the technical manner in which amendment changes are made. If you don’t have the original alongside for comparison you may not fully comprehend what is being done. Effectively, the characterization of the title (Stop Tax Haven Abuse Act) is more important than the actual content for swaying public (and co-sponsor) support.
Additional Note: We should keep an eye on Rep Loyd Doggett, as he appears to be the House clone for the retiring sponsors of FATCA in the Senate, Max Baucas and Carl Levin. (What a legacy they leave, eh?) He has introduced 3 tax bills already this year, and we wonder why the tax code complexity keeps growing.