Shadow Raider (and others like NotThatTara, badger, bubblebustin, Em, NotThatLisa) have referenced the US National Taxpayer Advocate Report to Congress, so here is my slow uptake to posting for IBS. IRSCompliant has posted at Maple Sandbox: Maple Sandbox re US Taxpayer Advocate Report to US Congress — with reference to NDP Murray Rankin Letter to Finance Minister James Flaherty
From Shadow Raider:
As a bonus, Schubert posted there re US Chamber of Commerce, January 9, 2014: The Next Obamacare? FATCA Roll Out Flounders: US Chamber of Commerce Joins TAS in Dumping on FATCA
I quote from Schubert:
Unless our Finance Minister has taken leave of his senses, which I think extremely unlikely, I no longer think we’ll see a Canada-US IGA any time soon, if ever. With heavy-hitters like these in the US saying “wait a minute, what the hell are you doing and why?” why should Canada or any other country leap into an IGA with the US to sign onto something that seems to look like might actually get derailed or gutted PDQ.
Remember that previous US ambassador to Canada who, back in the Fall of 2011, advised everyone to “sit tight?” That’s starting to look like supremely good advice for many so-called US persons, especially “accidental” (I prefer “inadvertent” or “unwilling”) so-called Americans living in Canada (the parallels to Ted Cruz aka “border babies”). Let’s just wait and see how this train wreck is going to unfold now.
If I were one of that handful of countries that leapt into bed with the IRS via an IGA, or an FFI that has spent hundreds of millions of dollars on compliance mechanisms, I think I’d start to feel a bit foolish (and very hard-done-by) right about now. And if I were a compliance maven with visions of fat fees from terrified offshore alleged Americans dancing in his/her head, I think I’d see those visions turning to mush.
We don’t want to count our chickens before they’re hatched, but maybe it’s time to take a deep breath, ignore the Chicken Littles in the compliance industry, “sit tight” and watch with fascination what seems more and more like a FATCA train wreck.
Nice news for a wintery Friday, anyway. Happy New Year, everyone.
May it be a happier New Year as we see more awareness of the disaster that FATCA will be, combined with US citizenship-based taxation. Let’s hope for change of the false equation being used to apprehend real tax evaders on the backs of all those who will be collateral damage, ruining so many non-aware families and individuals, leeching money from other sovereign country economies and not at all conducive to paying down US debt or enhancing how the US is seen by the rest of the world.