IRSCompliantForever brings to our attention another compliance industry learning opportunity — and an opportunity to protest FATCA.
Will there also be a few “No to Canadian banks imposing FATCA” signs for a Toronto mini-protest on November 13 and 14 outside the Metro Convention Centre?
At the the “Canadian Institute’s 19th Annual REGULATORY COMPLIANCE for Financial Institutions,”
Attendees will:
“Hear from ALL 5 Big Banks in Canada and more!
Hear from CIBC, TD Bank, Scotiabank, AMEX Bank of Canada, RBC Law Group, BMO Financial Group, HSBC Financial Canada, Manulife Financial, ATB Financial, Travelers and JPMorgan Chase Bank” WHO ALL AIM TO HELP THE US IMPOSE FATCA ON CANADIANS.
The banks will teach attendees at the conference how to: “[Navigate] the hurdles preventing [Canadian FIs] from achieving compliance with FATCA.”
John Staples (Nov 14) will provide a lecture on “Preparing to Implement the Foreign Account Tax Compliance Act (FATCA)” which will include …”an update on your most pressing FATCA questions and understand how Canadian FIs will perform and achieve compliance with the final regulations.” and even “Evaluating the consequences of opting out of the compliance agreement.”
The Privacy Commissioner of Ontario will also be there.
http://regulatorycomplianceforfis.com/
Have any of you read the US UK agreement and figured out how to deal with the situation?
http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-UK-9-12-2012.pdf
@Harry, WhiteKat, bubblebustin
Fear made me cash in my TFSA, Before the stock and bank crash I got out of all US investments and mutual funds. and of course my RRSPs and savings accounts don’t make as much but I feel safer.
How about Canada Savings Bonds? better than Provincial Bonds? My RRSPs are in just regular GICs.
I used to be a snowbird but never owned property. I turned down aFlorida condo offer that was so affordable but FATCA scared me away.
Provinical Bonds are sort of guaranteed by Canadian government do not buy Quebec.
f
oreword by Don Drummond
The Macdonald-Laurier Institute publication “Provincial Solvency and Federal Obligations” by Marc Joffe provides a
number of important lessons for Canadian fiscal policy authorities at the federal, provincial and territorial levels. The
analysis suggests that the combination of future economic conditions, featuring more modest output increases than
historically, and “status quo” policies, in particular the continuation of fairly rapid growth in health care spending, will
put a number of provinces into debt positions that could lead to defaults. Interestingly, Alberta, despite its current
net asset position, has the highest longer-term default probability. If credit rating agencies and markets share the
perspectives from this report’s analysis, then in theory the provinces should be facing higher interest rate spreads
over federal rates. The author surmises that the relatively low spreads observable vis-a-vis federal rates are due to the
assumption that the federal government will bail out any defaulting provincial government, as was done on several
occasions in the 1930s. The complex analysis leading to this conclusion leaves a lot of room for question. Perhaps the
agencies and markets believe provinces will act more responsibly to correct soaring debt than implied by the report’s
mechanical extrapolations. Perhaps they don’t accept the study’s definition of what debt burdens lead to high
default risk. Nonetheless, the study does bring to our attention a number of very important issues that are highly
relevant to current and future fiscal policy in Canada
http://www.macdonaldlaurier.ca/files/pdf/Provincial-Solvency-October-2012.pdf
Investment firm may be sending out w8-ben even if you do not own US stocks,
Deadbeat nation
Failure to rein in spending and make tough budget choices puts the provinces on course for a European-style debt crisis
Redford and McGuinty come from a long provincial tradition of blaming external factors for their chronic budget deficits, while continuing to overspend. It’s a habit that exposes one of the most overlooked crises in Canadian finances: Even as Canada is held up as a model of fiscal responsibility around the world for our relatively low federal debt, our provinces are swimming in red ink.
With $660 billion in federal debt, Canada’s national debt-to-GDP ratio looks reasonable at 36 per cent, compared to, say, America’s 72 per cent. But add in the estimated $589 billion in provincial debt and we’re suddenly at around 86 per cent, putting us close to the 90 per cent debt burden analysts say begins to harm economic growth. Factor in other debts, such as pension liabilities and the debts of Crown corporations, and Canada’s debt suddenly rises to 104 per cent of GDP, according to the International Monetary Fund. (By comparison, Italy stands at 126 per cent.)
http://www2.macleans.ca/2013/02/19/the-deadbeat-bunch-2/
@Harry
What about each of the usa states’ debt. Should not add that to the American country’s national debt?
Yes US state debt should be added. There is also a lot of unfunded debt, public employee pension, Social security etc etc. All countries will become Greece.
Harry: I’ve read it. How to deal with it depends on where you live and whether or not you have any US indicators ( I’m not sure ‘indicia’ is a real word)
Canada is pretty good, especially for citizen. It is to bad the Republican stopped the 17% government shut down. FACTA was not being negotiated and it would have been nice to see someone stand up to Obama. It will make it easier for us to negotiate IGA, If the EU would have taken a hard ball approach to FACTA, it would have died. There problem is tha theyt do not like Ireland being used as a tax haven. Delaware has no sate taxes but you still have to paid Federal taxes which is much bigger than state taxes. The US future debt is terrible and affordable care will make it worse. They will chase after non voters for more money, People here do not seem to understand. that it is not only the bank will suffer from USA denying financial investment to Canadian.
Just looked up ‘indicia’
Merriam Wester…….. Distinctive Marks…. I guess that if we don’t have a US flag tattooed on our ass we should be OK
Law dictionary….
KalC just a word of advice do not cross the USA border. In the future they will be trying to nab anyone with money.
KalC
I imagine that a lot of snowbird are going to get letters. They may not have filled closer connection and they may have rented out their house when they are away. Closer connection requires all your financial info like FACTA. According to Canadian insurance companies you have to have someone in the house every 2 or 3 days. A lot of people rent it out, thus violating one of the closer connection rules. You can lie about if you want. The US would love that. collecting taxes from people who can not vote, does not cost your government anything and are still a pure net economic benefit to US. They even pay higher property taxes than USA residents.
@Harry
Apparently if you just keep a furnished room in a house that’s available to you at all times, that would be considered a closer connection. Also, as far as I’ve been able to ascertain, if you fail to file a timely IRS form 8840 (Closer Connection Exemption Statement for Aliens), there’s a provision under the treaty commonly known as a “tie breaker” IRS Form 8833, “Treaty-Based Return Position Disclosure” but must be filed with the IRS by June 15 in the year following. Failure to file on time could make you ineligible to claim the treaty position and he might then be treated as a U.S. resident. And again, other penalties could be assessed.
http://www.advisor.ca/tax/tax-news/residency-rules-snowbirds-need-to-know-65336/2
I was writing a response but hit the wrong key on my keyboard. I was saying that I cannot believe all these tax forms that you need to file to IRS. The only one on my plate besides 1040 is 8854, final expatriation statement. My net worth is under 2 million so I can exit freely! But I have to wait until next year before they do the 2014 8854.
I shouldn’t do this, as these Hitler videos are getting old.. 🙂 However, I was reminded that in the early days of IBS, this one was posted about those 400,000 U.S. Persons in Toronto being rounded up…..
At the time, as a non Canadian and with no knowledge of Canadian politics or parties, it did not resonant with me and I had forgotten about it, except that I remembered that it upset our ex friend Mopsick who was more sensitive to these than I am. It is hard to offend me with anything.
I just stumbled back onto it today while looking for something else. So, like the Swiss using the Hitler clips here, or the ObamaCare clip here, here is the one about the Bankersters helping the roundup in Toronto.
I hope this doesn’t offend, as there are digs at the NDP, but recently they have been more positive statements as shown here,here, here and here, but given the protest in Toronto, for those that did not see it back then, it might give you a chuckle.
@JustMe, Perfect timing! I think this deserves a re-post of its own when we get closer to the next To protest.