Media and Blog Articles – Part 1 of 11 (to 26 May 2015)
You can access all years at this link:
http://isaacbrocksociety.ca/media-and-blog-articles-links-for-all-years/
EmBee suggested that it would be good if there was a thread for new articles, so that people would be aware of where to comment. So, I created this permanent page. You could mention such articles in the comment stream for this page, or if I see one on another thread, I can copy the link to here. I’ll keep adding to the list, but not deleting, so we’ll end up having sort of a “bibliography” too. [Note: Some articles are not open for comments]
For more articles on FATCA, enter FATCA into Google then click on the link “more news for fatca” just below the most recent featured article.
Note also: JC suggests to see #FATCA on Twitter for latest breaking news. JC finds that is quite a good source and there even are some international articles that one may read using Google Translate.” Others may help certain tweets and articles remain in elevated position by retweeting them.
2015.05.26
New Survey finds US expat voting could impact 2016 Presidential Election, Greenback Expat Tax Services, NASDAQ GlobeNewswire.
This congressional committee wants to hear all your FOIA gripes, Colby Itkowitz, Washington Post, US.
The black money recovery skills of IT department are nothing to write home about, Vivek Kaul, The Daily Reckoning.
2015.05.25
The Intersection of US Federal Tax Law with Collection of International Information- – Including Other Federal Agencies, Patrick W. Martin, TaxExpatriaation, US.
2015.05.23
America the not so brave: America has led the global assault on tax dodgers and their enablers. But the reality still lags behind the rhetoric, The Economist, UK.
Cash Banned from Chase Safe Deposit Boxes, Matt Chilliak, Live and Invest News.
2015.05.22
US Steuergesetz hat unerwartete globale Konsequenzen, Colleen Graffy, Geopolitical Information Service. Also at Consequences of US widening net to catch tax dodgers, Colleen Graffy, World Review.
The horse may have bolted … but, Angelo Venardos, Asia Asset Management.
Important Correction: Passports Required to Enter and Leave US — but SSNs May be Optional, Patrick W. Martin, Tax Expatriation, US.
2015.05.21
Americans working abroad face unexpected financial issues, Sarah O’Brien, NBC, US.
Senate tax reform groups get more time, Bernie Becker, The Hill, US.
2015.05.20
Malaysia will defer FATCA reporting, FSI Tax Posts.
America’s Self-Inflicted Wound, Moises Naim, The Atlantic, US.
Janice Mays: The Tax Guru Who Guides House Democrats, Alex Brown, National Journal, US.
Sen. Rand Paul Launches Filibuster in Protest of Patriot Act Renewal, C-SPAN, US.
@Shovel
People should be forewarned that if they fill it out they will get lot of e-mails from the DCCC in those rather over-the-top, “the other party is trying to destroy the country” tones that characterize U.S. politics on both sides of the aisle nowadays.
All you Canadians should go after this:
http://www.theglobeandmail.com/globe-investor/personal-finance/taxes/three-acronyms-to-consider-before-you-move-to-the-us/article21934012/
Mentions the TFSA like it’s no big deal instead of the thing being line a nuclear bomb once your a US citizen.
Michael DeBlis argues that Boris Johnson is not liable for capital gains tax on the sale of his home as he did not meet the substantial presence test. Really?
“Under Article 13 of the U.S.-U.K. tax treaty, Mayor Johnson is not liable for paying U.S. capital gains taxes on the sale of his home. Of course, that does not mean that he gets off “scot-free.” On the contrary, he must still pay taxes on the sale, but only to the U.K. government. Therefore, the mayor seems to have a ironclad argument for overturning the IRS’s proposed assessment of capital gains tax on his primary home.”
http://taxconnections.com/taxblog/london-mayor-pushes-back-against-the-irs-for-outrageous-tax-assessment/#.VICE8Ig76rU
@Bubblebustin,
As a US citizen or a Us citizen for tax purposes (green card) you are subject to the saving clause. This strips away almost all the tax treaty. Article 13 is not exempt from the savings clause. Here it is:
Article 1:
4. Notwithstanding any provision of this Convention except paragraph 5 of this Article,
a Contracting State may tax its residents (as determined under Article 4 (Residence)), and by
reason of citizenship may tax its citizens, as if this Convention had not come into effect.
5. The provisions of paragraph 4 of this Article shall not affect:
a) the benefits conferred by a Contracting State under paragraph 2 of Article 9
(Associated Enterprises), sub-paragraph b) of paragraph 1 and paragraphs 3 and 5 of
Article 17 (Pensions, Social Security, Annuities, Alimony, and Child Support),
paragraph 1 of Article 18 (Pension Schemes) and Articles 24 (Relief From Double
Taxation), 25 (Non-discrimination), and 26 (Mutual Agreement Procedure) of this
Convention; and
b) the benefits conferred by a Contracting State under paragraph 2 of Article 18
(Pension Schemes) and Articles 19 (Government Service), 20 (Students), and 28
(Diplomatic Agents and Consular Officers) of this Convention, upon individuals who
are neither citizens of, nor have been admitted for permanent residence in, that State
This is one of the most evil aspects of the tax treaty. It’s caught me out as well.
@Neill
I liked your comment, but might like it more if I had a better understanding of all the tax stuff, but I especially like the last sentence:
“Quite frankly the US treatment of foreign investments would be a joke if it wasn’t for that taking peoples stuff bit.”
@Neill
Re savings clause. That was also my impression, thanks!
@Neill
Interestingly, the savings clauses are not written for all countries so equitably. The Russian Federation treaty would not allow it to impose tax on Russian citizens in the U.S. as far as I can tell.
The politician we all love to hate takes a real beating in the WSJ today:
http://online.wsj.com/articles/dan-henninger-the-two-faces-of-chuck-schumer
London Mayor Is Poster Boy for Expat Tax Woes
Boris Johnson Says He Won’t Pay Certain Taxes the U.S. Is Seeking
http://isaacbrocksociety.ca/2014/12/04/about-mayoroflondon-boris-johnson-by-laura-saunders-saunderswsj-features-familiar-names/
This one is not behind WSJ paywall. Comments open.
http://www.nasdaq.com/article/london-mayor-is-poster-boy-for-expat-tax-woes-20141204-00782#/ixzz3KxFIzjmS
@Publius
Possibly a holdover from Cold War times when Soviet defectors would seek refuge in the US?
@Neil US “savings clause” We have this tax treaty, yet if in future we don’t like it we could ignore it. Sounds like the Canadian government was dudded on this one – yet the politicians were only voting on the one line executive summary provided by the US that includes “reduces double taxation and prevents fiscal evasion”, with words of “double taxation” and “prevents” so close together that the impression may be given: “prevents double taxation.”
@JC,
The tax treaty does still prevent double taxation. Citizens and green card holders get a credit or deduct the payments they have made to the types of income concerned. Of course this maximizes the two systems and can be much worse if the two countries push their tax burdens to different places.
PwC pushes for FATCA implementation in Nigeria
http://businessdayonline.com/2014/12/pwc-pushes-for-fatca-implementation-in-nigeria/#.VIETjE3u2Uk
The compliance vultures are circling over Nigeria. Imperial Corporatism at its finest.
I got mail saying there will be a conference call Dec 11 on the fatca legal challenge in the US. Said I was a significant donor. I only gave them $1k I think. Same amount I gave other lawsuit.
@Neil. Point of information. You are correct as per the US Treasury Department definition of “preventing double taxation” as applied very narrowly to each category of income and assets that may be taxed. Laura Saunders is right in that large amounts of tax paid in one’s country may not be used as credit against US tax.
A definition of preventing double taxation that we should use here at Isaac Brock Society should be a very broad one, in which credits for excessive taxes paid to one’s country of residence should be allowed to be applied against US taxes that your resident country does not have. That is still not good enough as a definition. How about this: for relative high tax countries such as Canada, UK, and Australia any double taxation should be that considered in excess of the the tax owed in any year to your country of residence.
Plus I would like to add to the Brock definition of taxation: all the time resources and expense involved with the compliance of it all, as this may be very taxing.
@JC,
I wouldn’t dispute what your saying. I just wouldn’t say that the tax treaty doesn’t prevent double taxation. That’s stretching the truth too much.
@ Neill – this conference call RE the Bopp/RO lawsuit is exciting news. Thanks for letting us know and I’m sure you will send links and/or details next week. 🙂
@Neil A matter of semantics. The tax treaty does not eliminate double taxation which some may believe when the word prevent is used.
@Neill
Do you think they will be going ahead with their case? I wonder if they got enough money together.
Yes- pls let us know.
@Neil,
I will be in on the call as well.
If you have an opinion on the type/scope of legislation you would like the Republicans to introduce in Congress during the next two years I suggest that you make your point in the call.
@Polly, Steven,
There web site seems stuck in time. So I am thinking they either don’t update or they didn’t get that much money. May be a request for more money. That’s the normal reason republicans want to talk to me.
@Neill, ” I just wouldn’t say that the tax treaty doesn’t prevent double taxation.”
Many moons ago, I was told in person at a HMRC Office by a HMRC Officer that the UK US treaty meant a UK Citizen resident in the UK had no filing obligations with the US on any UK sourced income. Yes, I asked do I have to file any forms with them. I was told all I had to do was file Self Assessment with HMRC and no one else.
He gave me a internet link to the treaty and a link also to the UKBA which cites the master nationality rule. I then read the treaty and the master nationality rule, guess what the HMRC person sounded like they knew what they were saying.
My point? Lots do not have a clue and think the treaty solves all the problems neatly and easily……. Thats probably why the public and politicians are not sympathetic.
@George Agreed. According to the Australian Tax Office (ATO) tax treaties “prevent double taxation” with no exceptions listed for US persons on this website: https://www.ato.gov.au/General/International-tax-agreements/In-detail/Tax-treaties/What-are-tax-treaties-/
@Neil @Stephen Kish I have Tweeted Republicans Abroad about their http://www.fatcalegalaction.com website which does not show much activity – except some Tweets from Solomon Yue. I noted ADCS has daily funding updates but fatcalegalaction shows no movement. The Republicans seeded the action with $100,000k then I saw something on Facebook that for a while they were matching donations. Yet nothing on fatcalegalaction about this. I suggested putting message boards on the site and publishing letters from US persons abroad. Nada.I am not done with them.
I sent a few Tweets to Democrats Abroad asking them which lawmaker(s) are drafting their FATCA safe harbour / country of residence exception legislation. No answer back from them.
So based on the above, onward ADCS!
Why is this condor suggesting those who are already in OVDP enter another more recent one?
“Don’t let another deadline slip by. If you have never reported your foreign investments on your U.S. Tax Returns or even if you have already quietly disclosed or in 2012 OVDI, you should seriously consider participating in the IRS’s 2014 Offshore Voluntary Disclosure Program (“OVDP”). Once the IRS contacts you, you cannot get into this program and would be subject to the maximum penalties (civil and criminal) under the tax law. Taxpayers who hire an experienced tax attorney in Offshore Account Voluntary Disclosures should result in avoiding any pitfalls and gaining the maximum benefits conferred by this program.
http://taxconnections.com/taxblog/london-mayor-refuses-to-pay-u-s-tax-bill/#.VIJTN4g76rU