Monthly Archives: December 2013

A well-researched article by Alex Newman today in The New American:

New U.S. Tax Regime is “Devastating,” Experts Say

Mr. Newman quotes from many familiar sources, including Andrew Quinlan, ACA, Rand Paul and James Jatras.  He also interviewed Roger Conklin, who again provides excellent historic context by linking today’s FATCA campaign with the Tax Reform Act of 1976. That earlier disastrous initiative forced thousands of US expats to return to the homeland, ceding fragile foreign markets to overseas competitors and ushering-in America’s monumental, decades-long trade deficit, which persists to this day.  To say that cause and effect is not well understood in Washington is a major understatement.

A crying shame that such a good article comes from a publication which includes The John Birch Society at the top of its list of Affiliates and Friends.  That is where we part ways.

What follows is a commentary on Virginia La Torre Jeker’s interview of ex-IRS Willard (Bill) Yates, recently retired from the Office of Associate Chief Counsel (International), If You Go, You Can’t Come Back. The Reed/Schumer Follies-Past And Proposed Anti-Expat Legislation: Interview With Bill Yates, Former IRS Attorney (International).  Yates explains why US has never enforced the exile provision of the Reed Amendment.

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The Isaac Brock Society broke the news of Santa’s arrest on Christmas Eve, 2011.

See also: Nicolas Santa still in federal custody (May 12, 2012).  Isaac Brock will provide a follow up and press release from Santa presently.

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U.S. Federal agents arrested Santa Claus earlier today at the North Pole. Special Christmas Edition (Merry Christmas to all and to all a good night!)

The United States Department of Fish and Wildlife has arrested Santa Claus, an elusive figure with many aliases (e.g., St. Nicholas). On the morning of 24 December, 150 heavily armed Fish and Wildlife special agents raided Claus’ North Pole compound, seized several tons of exotic woods forbidden by the Lacey Act, arrested Santa Claus and a female accomplice identified only as Mrs. Claus, and liberated thousands of diminutive slave labourers known only as “Elves”. Claus has been charged with multiple counts of money laundering, illegal exportation of currency, illegally importing into the United States toys made of contraband–rare woods, ivory and other banned substances. He has also been charged with violations of slave labor and child labor laws, hundreds of patent and trademark violations, and illegally entering and exiting the United States. Indeed, Fish and Wildlife agents also seized an unidentified aircraft called a “sleigh” which had numerous secret compartments holding the contraband. Fish and Wildlife agents charged Mr. Claus with animal cruelty with regard to the caribou that he used to launch this “sleigh”. Continue reading →

As previously reported here, the Caymanian Compass recently conducted an online poll which asked the question: Should Cayman agree to the US’s tax-collection “FATCA” program?  Nearly 58% of respondents declared “No”.

Responding to such a clear rejection of FATCA, Gonzales Jalles of Cayman Finance subsequently published an article which neatly sums-up the conflicting feelings within lucid members of the legal and finance communities worldwide – and just how little it takes to soothe their tortured souls.  Mr. Jalles begins his tale thusly:

Almost 58% of voters in a recent poll suggested Cayman should reject FATCA.  Don’t get me wrong, my stomach says the same, but I’m going to try to explain why we cannot.

***

If the Cayman Islands Government and the banks wanted to escape FATCA, they would need to stop using the US dollar all together, and we would need to create a new currency system where our currency is not pegged to the dollar.  Given the UK and Europe are going the same way, we could not peg it to those currencies either.  Therefore, we would need a floating currency, which will automatically mean the complete disappearance of our international financial industry that represents over 50% of our GDP and government revenue.

***

If you still think the Cayman Islands Government and local institutions should have said “no”, I give up.   You should move to Cuba, probably the only country in the world that might remain completely out of it.

Lucky Cuba. Driving Detroit museum-pieces forever seems like a small price to pay for avoiding FATCA.

Jalles then goes on to deliver the most misleading and pointless FATCA analogy I’ve heard this year:

Let’s say the police catch you speeding and driving under the influence.  You are going to pay a fine and be riding a bike for a while.  Do you accept it or do you refuse to pay the fine and keep driving, making things worse for yourself?

Apparently refusing to bow to FATCA is the equivalent of both speeding AND driving under the influence – who knew?

Finally, Mr. Jalles concludes with this passionate confession:

Maybe a few lawyers and accountants like FATCA as they will see more business, but most of us don’t.  It’s like a hurricane heading straight at us — ignoring it is not an option, we need to accept it and get ready.

In other words, what’s left of my soul says this is bad, but not bad enough to try to fight it so might as well make some money out of it like everyone else and forget about all that collateral damage stuff.  Those people are screwed anyway so why even bother?

And that is today’s lesson in how FATCA capitulation works – think locally, act globally.

Expect numerous bravura repeat performances in Canada any day now as the equally tortured souls at Finance and the CBA peddle their toxic IGA to Mansbridge while crocodile tears flow for the cameras.

I have been meaning to post these here for people who would rather download them themselves and have them printed locally rather than request me to mail them out. These are a bit different in design than the ones I had litho printed, to accommodate the digital printing that would be required.

Please respect the work of the authors and designers and do not make any changes to the wording or the layout.

Feel free to print the documents, or to save them to a USB drive and have them printed at a professional printing place like Office Depot or Kinkos.

FATCA_HR

FATCA_NOTMYTHS_HR

(Note that the “Not Myths” document is intended to be a double-sided folded brochure, so the cover is on the right hand side of page 1.)

FATCA_NOTTXCHTS_HR

The need to get this information out to the Canadian public couldn’t be more urgent! So please try to blanket as many coffee shops, libraries, book stores and public light poles as possible. Another suggestion (something I have done and will continue to do) is to go door to door in my own neighbourhood and put them in peoples’ mailboxes.

Thanks,

GwEvil (Gwen’s new handle)

The Vaud League (cosponsor organisation for the Anti-FATCA Referendum) has a very telling article on its website entitled “FATCA Kesako ?”
Continue reading →