Rumor Has It – Another FATCA Delay? | Let’s Talk About: US Tax http://t.co/2cQEaAWz2K
— V. La Torre Jeker JD (@VLJeker) January 20, 2014
Interesting “hot off the press” post from Virginia La Torre Jeker, coming on the heels of this Eileen O’Connor Forbes article describing the difficulties of the FATCA rollout.
Highlights include:
On Sunday, a report published by the China Post in Taiwan hinted that another six-month delay may be likely in implementing the Foreign Account Tax Compliance Act (“FATCA”). If the report is correct, this would be the third delay in rolling out what has been described by many as the most over-reaching and egregious US legislation to come down the pike. In October 2012 and again in July of 2013, the US announced six-month delays in implementing FATCA due to the practical difficulties in setting up the measures required to have foreign financial institutions around the world reporting about their US customers.
If the latest report is true, it would be the third time that the US has delayed implementing FATCA. Perhaps, third time, the charm?
…
US Treasury Reacts to FATCA Criticism
Robert Stack had a lot to say in September in defense of FATCA. Stack was trying to bust the “myths” surrounding FATCA and replace them with “facts”. Some of his FATCA “Facts” included the following –FATCA is not an “overreach of US law”, it will not cause Americans to be pariahs in the international financial community, it will not cause Americans living abroad to give up their citizenship due to burdens and liabilities; it is not overly costly and burdensome on financial institutions; its aim is not to use foreign banks as an extension of the IRS. The list goes on….
Speaking of Stack of Lies Robert Stack, (of the impact of FATCA on Americans Abroad is a myth fame), the fact that you are reading this post, validates your belief that:
So, sleep tight! Don’t let the bed bugs bite, and be secure in your knowledge that:
Although YOU are NOT a myth, if the rumor of another delay is true, maybe:
FATCA is a myth! Nothing but a myth!
This song from the 60s comes to mind!
Robert Stack is the IRS’s modern version of Joseph Goebbels. The U.S. Treasury’s propaganda machine is running in over drive.
I think this was done by the Demonicrits. They want FATCA disaster to happen after the election period. If it gets pushed back, then Congress and the Republicans can go back to sleep. It’s their response to the RNC resolution this week.
Actually at the moment it’s stuck – spinning its wheels in its own sand!
Also, Stack is NOT modern.
Delayed or not it’s going to be a disaster either way. It’s far too burdensome, they are not ready for it themselves, there are going to be mistakes made. A lot of mistakes. People who should not have had their information shared are going to have it shared with no recourse. That’s going to happen all over the world. This is going to be called “glitches” But when people have no recourse they will talk about that.
The U.S. just needs to admit that CBT was put in place as a punishment for those deemed trying to escape from the U.S. a long time ago. This is a different day and time and not everyone leaving the U.S. is escaping. They need to stop living as if they were and change the law to RBT to reflect the realities of the modern world. Then concentrate on those living inside the U.S. with actual “off shore” accounts. FBARS make a LOT more sense for those living there than they do for those not living there if you’re really going after tax cheats!
It should be noted that the last official delay was done in Early July 2013. About 5.5 month before it was to be implemented. Based on that timeline the delay should have been announced by now.
Atticus
Some Republican may be in favour of RBT but next to none or no Democrat will approve, I do not think that the Republican will ever get enough votes to eliminate CBT. Actually I doubt a Republican President will ever get elected in the foreseeable future. I also doubt they will ever get 67 Senate votes to overcome a veto.
Summary of the Levin-Whitehouse-Begich-Shaheen Stop Tax Haven Abuse Act
http://www.levin.senate.gov/newsroom/press/release/summary-of-the-levin-whitehouse-begich-shaheen-stop-tax-haven-abuse-act
You will not like it
I would be happy if the USA would only target tax heaven countries, but it is not going to happen.
From my wikipedia Max Bacus and Charles Rangel wrote FATCA not Levin.
http://en.wikipedia.org/wiki/Foreign_Account_Tax_Compliance_Act
Levin is chairman of Armed Force Committee, Bacus is chairman of Finance Committee
The last delay was announced July 12, 2013
http://www.forbes.com/sites/taxanalysts/2013/12/12/will-fatca-ever-go-into-effect/
@AtticusinCanada
Isn’t that the irony of it all, that if it was a truly free society in the first place, that no one would need to ‘escape’ it? And isn’t all of this CBT and FATCA crap really about the attitudes of those that are so indignant towards people that were simply making the choice to leave?
If you’re not rich when you leave, then we don’t want you! We don’t need you!
If you are rich when you leave, then how dare you leave us without even paying your ‘fair share’ first? You OWE US for your good fortune, after all!
What an ugly society it is when ‘citizenship’ means you’re the property of the government.
FATCA is the US’ wish list which will be modified by foreign courts. If foreign courts say NO to FATCA for resident dual citizens what is the US really going to do about it? It’s losing it’s economic influence by the day. What happens when the dollar loses reserve currency status?
Don I think Supreme Court will rule against it. USA can not do anything if Government signs IGA and Supreme Court rules against it. The USA is not losing it reserve fund status unfortunately.
http://www.marketwatch.com/story/dollar-gains-vs-euro-as-market-searches-for-direction-2014-01-06
@Don
I don’t know. 300+ million people, with 47+ million on food stamps, all of which are whipped up into a rabid fury by the ‘free media’ propaganda apparatus. People that are eager to blame all of their problems on either the neocons, or the liberals, plus a country with a gun for every man, woman, and child there?
It’s going to get really ugly, really fast.
What about the fact that the Treasury Department says NO MORE FATCA DELAYS!
recalcitrantexpat,
We’ve missed you; hope you and your family are well!!!!!!
@George III
Don’t believe it. The problem is worse than the US news media is willing to say.
Between quantitative easing, and the issuing of a lot more ‘paper gold’ than there is actual gold, the Fed is really in a bind.
http://www.paulcraigroberts.org/2014/01/17/hows-whys-gold-price-manipulation/
http://www.international-adviser.com/news/tax—regulation/fatca-could-be-delayed-again-cna
Helen Burggraf, in International Advisor’s Tax & Regulation, adds to the story out of Taiwan:
Probably best to not get too worked up by these isolated reports. The individuals involved appear not to realise which year it now is…
The international advisor has fallen into the same US-centric trap – the non-US world taxes on residency not citizenship. All any other government expects in reciprocation is information on their own residents holding offshore accounts in the US.
Doesn’t lend much authority to the delay rumor.
Also the quoted delay is attributed to ‘officials’ – officials of what?
I think you should take no notice of this unsubstantiated and isolated rumor.
Never believe anything until it has been officially denied.
Claud Cockburn (1904 – 1981)
“Niemand hat die Absicht, eine Mauer zu errichten!“
Walter Ulbricht, 1961
@Recalcitrant,
Robert Goebbels Stack. That was a good one, very fitting.
The IRS has recently confirmed the Treasury Department’s message from December “No more FATCA delays”:
IRS deputy commissioner Michael Danilack’s comments, made on 28 January followed his address to the New York State Bar Association’s tax section, contradict a report published by Taiwan’s Central News Agency nine days before, which suggested that FATCA might be about to be delayed again‚ for another six months.
http://www.portfolio-adviser.com/news/regulation/irs-brass-says-no-more-fatca-delays