Politico’s Rachel Bade reports on the renewed efforts by Carl Levin and John McCain to pressure Senator Rand Paul into ratifying a long-delayed 2009 Swiss-U.S. Protocol that would allow the release of even more names of U.S. account holders at Swiss banks. As Bade reports in this excerpt,
Paul, a libertarian Republican widely believed to be eyeing a 2016 presidential run, says his hold stems from concerns about Fourth Amendment protections against “unreasonable search and seizure.”
“These are people that are alleged, not convicted of doing anything wrong,” Paul said a few weeks ago. “I don’t think you should have everybody’s information from their bank. There should be some process: accusations and proof that you’ve committed a crime.”
Paul’s protest is also linked to his abhorrence of the soon-to-take-effect Foreign Account Tax Compliance Act, which will force foreign banks to disclose U.S. account information to the IRS, and domestic banks to reciprocate to other nations’ revenue departments.
A Treasury official recently told Paul’s staff that FATCA “doesn’t work” without the treaties — though there seems to be disagreement on that point, even in the executive branch.
That sent up red flags anew to Paul because the senator has legislation to repeal FATCA and hesitates to support a treaty that enables a law he views as U.S. government overreach.
This article could really use some commentary from Brockers – I encourage everyone to get over there. This is Politico, and it’s a great chance to educate some more of those “rich tax cheats sitting on the beach” Kool-Aid drinkers.