UPDATE: JUNE 14, 2015
from JakDak:
The Senate Finance Committee chairman, Senator Orrin Hatch (R-UT), has established working groups to study different aspects of the tax system. These working groups are scheduled to report back to the committee by June 26.
Tax Policy Update
June 09, 2015[Interesting: NUMBER OF THE WEEK: 61. The number of countries that have signed on to implement the OECD’s multilateral agreement for the automatic exchange of tax information, in conjunction with the ongoing Base Erosion and Profit Shifting (BEPS) project. Although the U.S. has committed to implement the standard, it has not yet signed onto the formal agreement (the “multilateral competent authority agreement”), which lays out in detail what information will be exchanged, the timing and method of exchange, and how signatories will work together to ensure compliance. Signatories to the agreement will begin exchanging information as early as 2017. Additionally, the OECD released on June 8 its “Country-by-Country Reporting Implementation Package” developed under the BEPS Action Plan. Under the plan, which the Treasury Department has said it will implement for the 2016 fiscal year, multinational companies are required to aggregate and report information annually regarding where they do business, the global allocation of income, and amount of taxes paid, along with other information that will allow taxing authorities to more closely examine multinationals’ tax practices. The release of the package coincides with the 2015 OECD International Tax Conference in Washington, D.C., this week where OECD representatives are expected to review and discuss key initiatives under BEPS.]
SPOILER ALERT: Comprehensive Tax Reform Unlikely in 2015. In an interview last week, Senate Majority Leader Mitch McConnell (R-KY) outlined a busy legislative agenda between June and August recess: passing a highway bill, cybersecurity legislation, No Child Left Behind, and the Toxic Substances Control Act. Tax reform, however, is conspicuously missing from the list. “We’re certainly not going to be able to be doing big, comprehensive tax reform with this president,” McConnell said. Tax reform optimists have been eyeing the highway reauthorization bill as a potential vehicle to move a limited set of tax reform measures, but according to McConnell, the bill might instead be better suited to pick up a different legislative passenger—the reauthorization of the Export-Import Bank. McConnell believes the highway bill would provide the best opportunity to reauthorize the bank, which is set to expire June 30.
The inability of the Senate Finance Committee Tax Reform Working Groups to meet their original May 31 deadline to report recommendations to Chairman Orrin Hatch (R-UT) and ranking member Ron Wyden (D-OR) only adds to the general pessimism. The international tax working group may offer the only glimmer of hope, with reports that it has made the most progress in hammering out detailed recommendations. The working groups are now aiming to deliver their reports before Congress departs for the July 4th recess.
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UPDATE: MAY 25, 2015
Em’s comment to JakDak:
I’m not sure of the where for the SFC recommendations but the when has been delayed:
http://thehill.com/policy/finance/242916-senate-tax-reform-groups-get-more-time
The Senate Finance Committee’s leaders are giving tax reform working groups some more time to formulate their recommendations.
Finance Chairman Orrin Hatch (R-Utah) and the panel’s top Democrat, Sen. Ron Wyden (Ore.), had hoped for recommendations by the end of May.
But in a statement Thursday, the two senators said that the working groups made it clear that they needed extra time to do the job right. The panel will set a new deadline after lawmakers return from next week’s recess.
“It is our hope these bipartisan working groups will use this extended time to finalize their recommendations for tax reform and produce in-depth analyses of options and potential legislative solutions,” Wyden and Hatch said in a statement.
etc.
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Shadow Raider says
April 29, 2015 at 6:39 pm
The Senate Finance Committee just released the comments sent by the public on tax reform. As expected, there are lots of comments about CBT and FATCA.
http://www.finance.senate.gov/newsroom/chairman/release/?id=3b14e94b-69f9-41e2-9fd3-7d191971b7ee
Hatch, Wyden Release Public Input on Bipartisan Tax Reform
Over 1,400 Submissions Made to Working Groups
WASHINGTON – Finance Committee Chairman Orrin Hatch (R-Utah) and Ranking Member Ron Wyden (D-Ore.) today released over 1,400 submissions from stakeholders on how to best to overhaul the nation’s broken tax code. In March, the Committee sought input from the public in an effort to provide additional data and information to the Committee’s bipartisan tax working groups, which are currently analyzing existing tax law and examining policy trade-offs and available reform options within each group’s designated area.
“We thank the stakeholders and public who provided us with this valuable data and input,” Hatch and Wyden said. “These submissions have equipped us with the ability to better evaluate how reforming the tax code will affect both American families and business of all kinds. As our bipartisan groups work towards producing substantive recommendations on how to reform the tax code, they will now be able to consider these valuable ideas.”
All comments received by the Committee that met submission requirements were made public.
Submissions can be found below. Total submissions to each bipartisan tax working groups are as follows:
Individual Income Tax – 448
Business Income Tax – 332
Savings & Investment -128
International Tax – 347
Community Development & Infrastructure – 207
Each of the five bipartisan working groups is currently working to produce findings on current tax policy and legislative recommendations within its area, with the goal of having recommendations from each of the five working groups completed by the end of May.
###
Thanks, Shadow Raider, for alerting all here. There will be many Brockers reading, starting with the submissions (not all by individuals) to International Tax.
This report has a new dedicated post: https://isaacbrocksociety.ca/2015/07/08/82-page-u-s-senate-international-tax-reform-report-released/.
Thanks, Johnson!
Regarding 82 page U.S. Senate International Tax Reform Report released…
Posted on July 8, 2015 by calgary411 Posted in Issues regarding US persons abroad
Just sent info to many US newspapers and comments as per my media emails I put on earlier. All the more reason to post on https://www.facebook.com/FoxNews
Postings on https://www.facebook.com/FoxNews
Went through another 2000 with key search “tax” ONLY ONE more
Nathan J. Churchill There are over 8 million Americans living overseas. Recent FATCA tax legislation is causing serious harm to all of us, indeed making our lives almost impossible. We overseas Americans have enough votes to swing the election and are almost all single issue voters until FATCA is repealed. What is your position on FATCA?
Interesting
FATCA Repeal: Looks Like Good News for 7.6 Million Expats
http://www.lizlarroquette.com/facta-repeal-looks-like-good-news-for-7-6-million-expats/
@ Jac Dak
I really want to send in a question to Fox for the debate but I do not have Facebook. Is there another way to submit one?
???
Rich and American? Australia wants you
Reuters
July 13, 2015, 7:20 am
Share
By Swati Pandey
SYDNEY (Reuters) – Flush with the success of a millionaire visa programme to attract wealthy Chinese, Australia is now promising citizenship to rich Americans who are willing to bring their cash and entrepreneurial talent Down Under.
But there’s a rather large catch: participants in the invitation-only Premium Investment Visa scheme will need to invest A$15 million (7 million pounds) for the privilege of becoming an Aussie.
Launched earlier this month but not widely publicised, the scheme’s investment requirements easily top the existing two-year-old Significant Investor Visa (SIV) programme, which asks for a A$5 million commitment and has been especially popular with Chinese migrants.
Investment advisors who have been briefed on the plan by government officials expressed doubts about the wisdom of targeting Americans, with several telling Reuters the more obvious place to start was Australia’s Asian neighbours.
After all, why would a successful U.S. entrepreneur want to invest a large chunk of cash in Australia – a country very similar to the United States, just further away from everything – in exchange for a passport that carries few additional benefits to their own?
“The U.S. has some problems that Australia doesn’t have. It’s got a lot more racial crimes, it’s got a lot more gun-related crimes, but I don’t think that is going to drive a whole bunch of ultra-rich Americans out of their country,” said Bill Fuggle, a partner at law firm Baker & McKenzie who advises wealthy Chinese migrating to Australia.
The programme, which does not have any residency requirement, allows would-be migrants to invest pretty much anywhere except housing. In comparison, Significant Investor Visa holders must put at least 40 percent of their A$5 million investments in risky small-cap and venture capital funds, and be an Australian resident for 40 days a year for four years.
NOT ABOUT MONEY
The Australian Trade Commission (Austrade) revealed for the first time that the programme would begin in the United States, Australia’s top two-way investment market, before expanding to other major investment markets such as the United Kingdom.
Despite the hefty investment requirement, officials say it’s not about the money. It’s about attracting the best and brightest entrepreneurial talent from around the globe, and from America in particular.
“The United States … is a natural place to target the kinds of entrepreneurial skills and talents we need to cultivate further in Australia,” Austrade told Reuters in an email.
U.S. “innovators” would help to build links between Australians and “entrepreneurial hubs” such as Silicon Valley, Los Angeles and Boston, it added.
“Australia has long been a place of innovative ideas, research and development, but has often lacked the capital, depth of entrepreneurial talent or scale to commercialise our ideas successfully,” Austrade said.
Australia’s national science agency, the Commonwealth Scientific and Industrial Research Organisation (CSIRO), boasts inventions such as WiFi, high-nutrient grains and a new way of making plastics that is already the basis of more than 200 patents. But it often struggles to bring its ideas to market due to a lack of venture capital.
For the fourth consecutive year, Australia made the Top 10 global destinations for foreign direct investment in 2014, according to the UN Conference on Trade and Development. It ranked 8th, one ahead of the UK, and is one of only four developed countries in the Top 10.
Tax experts said that while there were no major tax advantages for Americans in Australia, the depreciating Aussie dollar and the country’s proximity to emerging markets like Indonesia and China could help to attract U.S. talent.
Another recent area of heightened U.S. interest in Australia is the stock market, which is being eyed as a fundraising vehicle for venture capital-shy U.S. tech start-ups after the successful listing of San Francisco-based online recruiter 1-page in October.
Apple Inc co-founder Steve Wozniak is the most famous U.S. entrepreneurial talent to take up Australian residency, after his son married an Australian and migrated to Sydney.
“No country is perfect, but I like a lot of things about this place,” he told the Australian Financial Review newspaper in December. Wozniak declined to be interviewed for this story.
CHINA RISING
More than 90 percent of the roughly 3,000 applicants for Significant Investor Visas are Chinese who wish to move to Australia for a better lifestyle or to avoid a sweeping corruption crackdown at home.
Americans hardly figure among those being granted SIVs, fuelling doubts about how many will be interested in a “premium” visa.
“America and Australia are very similar countries. You could move from San Francisco to Sydney and it would be almost the same life,” Baker & McKenzie’s Fuggle said.
“So we are much more likely to get ultra-high net-worth Chinese entrepreneurs than Silicon Valley Americans.”
(Writing by Stephen Coates; Editing by Simon Cameron-Moore)
https://au.news.yahoo.com/world/a/28769564/rich-and-american-australia-wants-you/
Some extra help ACA
Once the candidate field gets culled down, ACA normally asks the candidates to provide a written statement as to how they will address the issues affecting Americans living and working overseas. We have done this with every Presidential Election going back to the 1970s.
Thanks!
Marylouise
Called FIRST time staffer has received a call re EXPat Tax
Call in Senate Finance Committee at +1 202-224-4515
Approx 30 staffers each side whole finance committee (R) (D)
After talking to staffer you may want to ask to talk to or leave message for the main people regarding our concerns
Eric Oman (R)
Tiffany Smith (D)
Why not email the main people regarding our concerns
Eric Oman (R) Eric_Oman@finance.senate.gov
Tiffany Smith (D) Tiffany_Smith@finance.senate.gov
Republican Party tries to recruit the 8.7 million U.S. citizens living and working abroad to back it in next year’s presidential elections
http://www.washingtontimes.com/news/2015/jul/14/rand-paul-sues-obama-over-foreign-banking-law/?page=1
How about a how to section for voting for President ?
Bcc: them all
Mr. Mark Prater, Deputy Staff Director; Chief Counsel, Tax
Mr. Preston Rutledge, Counsel, Tax
Mr. Jim Lyons, Counsel, Tax
Mr. Tony Coughlan, Counsel, Tax
Mr. Nick Wyatt, Professional Staff Member, Tax and Nomination
Mr. Eric Oman, Senior Advisor, Tax and Accounting Policy
Mr. Christopher Hanna, Senior Advisor, Tax Policy
Mr. Todd Metcalf, Chief Counsel, Tax
Ms. Kara Getz, Senior Counsel, Tax
Mr. Ryan Abraham, Senior Counsel, Tax and Energy
Ms. Tiffany Smith, Senior Counsel, Tax
Mr. Todd Wooten, Senior Counsel, Energy and Tax
Ms. Danielle Deraney, Analyst, Tax Policy
Mr. Christopher Arneson, Advisor, Tax Policy
Mr. Adam Carasso, Senior Advisor, Tax and Economics
mark_prater@finance.senate.gov
preston_rutledge@finance.senate.gov
jim_lyons@finance.senate.gov
tony_coughlan@finance.senate.gov
nick_wyatt@finance.senate.gov
eric_oman@finance.senate.gov
christopher_hanna@finance.senate.gov
todd_metcalf@finance.senate.gov
kara_getz@finance.senate.gov
ryan_abraham@finance.senate.gov
tiffany_smith@finance.senate.gov
todd_wooten@finance.senate.gov
danielle_deraney@finance.senate.gov
christopher_arneson@finance.senate.gov
adam_carasso@finance.senate.gov
It’s working
Oman, Eric (Finance)
10:58 PM (28 minutes ago)
to Tony, me
Thanks. I’m copying Tony Coughlan on this email, who spearheads our efforts on international taxation.
From: Jak Dac
Sent: Tuesday, July 14, 2015 9:03 PM
To: Oman, Eric (Finance)
Subject: Overhaul the taxation of individual Americans living abroad
Including in emails
Recruit the 8.7 million U.S. citizens living and working abroad to back it in next year’s presidential elections
http://www.washingtontimes.com/news/2015/jul/14/rand-paul-sues-obama-over-foreign-banking-law/
Thank you. We appreciate knowing you read our report and agreed with it. Chairman Hatch is very committed to an overhaul of the US international tax rules. We are spending considerable time working on it, and we surely hope we can succeed.
Kind regards,
J. Anthony Coughlan
Tax Counsel
U.S. Senate Finance Committee, Republican Staff
Senator Orrin G. Hatch (Utah), Chairman
219 Dirksen Senate Office Building
Washington, D.C. 20510-
__________________________________________________________________
Read our report and agreed with it ?
I do NOT agree with the minimal amount of effort within the report (section F) .This gives NO solutions for 8.7 million ExPat Americans whom are under much duress physically, mentally,financially etc. This is affecting marriages, bank accounts people are crying giving up citizenship of a country they have fond memories of. Remember your forefathers broke away from Britain because of UNFAIR taxation. The US is the ONLY westernised country using CBT, We have come a long way since the horse and carts of the Civil War. Relationships and newer and better planes takes settlers to new countries. Engelbert had it right “Please release me let me go” (re taxation). Please give feedback regarding this SPECIFIC concern as reflected in 75% of the International (and a fair amount of the INDIVIDUAL ) tax submissions received. Frankly the answer we got reflects what some people are putting to the section reference F (guess the rest)
Please help this has been known to the government for many many years along with previous submissions
Fingers crossed
Cheers,
JD
US international tax rules ? The ones relating to EXPATS not just business . Am I correct that on your web site we may find hearings related specifically to this issue ?
Cheers
JD
Nonpartisan Voter Services for U.S. Citizens Overseas and Uniformed Services Members
https://www.overseasvotefoundation.org/vote/home.htm
Anyone know on Fox News how to search all comments (15000 plus now) for keyword tax to check out expat comments (except for clicking 50 at a time)
Fox News
July 7 at 6:00am ·
What is YOUR one question for the candidates? Fox News and Facebook are teaming up to bring you the first GOP presidential debate. Submit your question in the comments below or click here: http://bit.ly/1H4seMV to upload a photo or video. It could be featured in the debate August 6th on Fox News Channel!
I have received your emails. We’ve met with several US citizen living abroad who described the issues to us. It’s something we are looking at as part of tax reform.
Best,
Tiffany Smith
Senior Tax Counsel
Senate Finance Committee
(202) 224-4515
Her email tiffany_smith@finance.senate.gov
Thanks Tiffany
Please elaborate on what is being planned
Smith, Tiffany (Finance)
I can’t elaborate at this time.
Sent from my BlackBerry 10 smartphone on the Verizon Wireless 4G LTE network.
Will I see some action in a week ? month ?
Smith, Tiffany (Finance)
I’m not sure on the timing of tax reform, but it will not happen that fast. The discussions are long term.
Sent from my BlackBerry 10 smartphone on the Verizon Wireless 4G LTE network
Lot of support contribute
https://www.popvox.com/bills/us/114/hr3078
Good to know ACA is on the job
Thank you for this Jak. We know Tiffany and have regular contact with her.
Best,
Marylouise Serrato
ACA Executive Director
Seems like things are stepping up
https://www.democratsabroad.org/group/fbarfatca/americans-abroad-caucus-cover-and-sign-letter-support-fatca-safe-harbor
Dear Democrats Abroad,
We are at a pivotal milestone in our efforts to reform FATCA but we need our grassroots activists like you to ACT NOW.
Help us write 1000 letters to Congress by Friday to support the FATCA reform “sign on” letter!
As we reported earlier this month, Americans Abroad Caucus Co-Chairs Representative Carolyn Maloney (D-NY) and Mick Mulvaney (R-SC) are circulating a “sign on” letter on Capitol Hill pressuring Treasury Secretary Jacob Lew and IRS Commissioner John Koskinen to implement the FATCA Same Country Safe Harbor for Americans abroad.
The letter should have hit the desk of your member of Congress. Maybe they’ve seen it, maybe not – but the letter will be closed for new signatures soon. Signatures of support from members of Congress are needed now! Send a message to your elected representatives RIGHT NOW, reminding them about the letter and asking them to sign it.
It’s easy.
1) Click here and enter your U.S. voting address to compose a message to your elected representatives
2) Either copy and paste the suggested message below or write your own polite and succinct message urging your member of Congress to sign the letter in support of the Same Country Safe Harbor that Representative Maloney and Representative Mulvaney are circulating.
3) Let us know who you have contacted by filling out this very very short questionnaire HERE so that we can amplify your voice and continue to put pressure on Congress.
Thank you for participating in this important initiative in support of our work to fix FATCA. If you’d like to further support FATCA reform efforts, please make a contribution by clicking here.
Democrats Abroad FBAR/FATCA Task Force
###
SUGGESTED MESSAGE ENCOURAGING ELECTED OFFICIALS TO SIGN THE AMERICANS ABROAD CAUCUS LETTER TO TREASURY AND THE IRS IN SUPPORT OF THE FATCA SAME COUNTRY SAFE HARBOR FOR AMERICANS ABROAD
SUBJECT: Congressional Sign On Letter supporting the FATCA Safe Harbor for Americans Abroad
I live in [country of residence] and I vote in [state] District [number if known].
Americans living outside of the United States like me are bearing the unintended, but serious consequences of the Foreign Account Tax Compliance Act (FATCA). The law was, of course, intended to discourage and apprehend US citizens hiding untaxed earnings in foreign financial accounts. The reporting requirements FATCA imposes us and our banks were never intended to impact ordinary, middle class, law-abiding Americans abroad. However, due to FATCA our financial accounts are being closed, our relationships with our non-American spouses are under strain, some of us are being denied roles, promotions or partnership in business and some are planning or contemplating renouncing their US citizenship. Some have already done so.
We need help urgently.
The Democratic and Republican leaders of the Americans Abroad Caucus, Representative Carolyn Maloney (D-NY) and Representative Mick Mulvaney (R-SC), have drafted a letter to the Treasury and IRS in support of a reform to the FATCA implementation rules which would resolve the problems that FATCA causes for 90 percent of Americans abroad: the FATCA Same Country Safe Harbor for Americans abroad.
Representative Maloney and Representative Mulvaney are circulating the letter on Capitol Hill. I strongly urge you to join your Congressional colleagues in signing on to this letter in support of the Same Country Safe Harbor. There are 8.7 million Americans living outside the US. We vote, we file tax returns and we are calling on you to help us by fixing this law that has so badly impacted our financial and personal lives.
Please sign the Congressional letter to Secretary Lew and Commissioner Koskinen in support of the FATCA Same Country Safe Harbor for Americans abroad. Please contact Natalee Binkholder (Natalee.binkholder@mail.house.gov ) in Rep Mulvaney’s office or Max Whitcomb (Max.Whitcomb@mail.house.gov) in Rep Maloney’s office with any questions and to deliver your support.
Thank you for your help and thank you for serving.
Regards,
Name
City, Country
###
This message is paid for by the Democratic Party Committee Abroad
Democrats Abroad
PO Box 15130
Washington, DC 20003
United States
Telephone: +1-202-621-2085 +1-202-621-2085
It is being sent to you because you are a member of one or more of these Democrats Abroad group(s): DA International and DA International.
I have moved back to the US and want to be moved to the DA US Alumni group.
I have moved back to the US and want to be removed from the DA membership list.
I have moved to another country or chapter area and want my membership to be transferred. Please send us your new address.
I want to be completely removed from membership in ALL groups in Democrats Abroad.
I want to continue my DA membership but receive only Voter Information emails.
Some of the links (here) for 1000 letters to Congress by Friday
https://www.democratsabroad.org/sites/default/files/Americans%20Abroad%20Caucus%20Cover%20and%20Sign%20On%20letter_0.pdf
https://democracy.io/#/
https://www.surveymonkey.com/r/DA-SafeHarborCampaign
Just for info, the FAWCO and AARO websites have had a similar (if less detailed) encouragement to members since July 4…
I think we are all on this with equal fervor!
https://aaro.org/fatca/524-americans-abroad-caucus-co-chairs-urge-fatca-reporting-relief
http://www.fawco.org/us-issues/us-liaison/3359-americans-abroad-caucus-co-chairs-urge-fatca-reporting-relief
This campaign worries me. I believe that “Safe Harbor” has pirates lurking in it and a gate which will close after you enter. Sail in there and you will still be tagged and bagged for IRS consumption. Sail in there and you will have no hope of CBT ever being abolished. The Congress will simply say they fixed things, so stop your bitchin’ and submit your annual tax and info forms from now until eternity. I think Americans would still be toxic at the banks after “Safe Harbor” because they still come with an annual paperwork burden attached.
https://americansabroad.org/files/4314/2900/7077/same-country-exemption-2015-04-06.pdf
All SCSH (or whatever it’s called this week) will only save me from filling out 8938’s. Whoop-Dee-Doo! It will however, increase the bank’s work multi-fold. I’d like to see a list of FFI’s who presently ban Americans who commit to taking them again with SCSH.
Expats Seek Tax Overhaul
Jul 27, 2015 by WealthManagement.com Staff in The Daily Brief
No taxation without representation. | Copyright Daniel Berehulak, Getty Images
More than three out of every four Americans living abroad say that taxes will play an important role in the next presidential election. In a recent poll of over 400 expatriate clients, the deVere Group found 78 percent say they would vote for a presidential candidate who vowed to consider an overhaul of the U.S. citizenship-based tax system. Generally expats living abroad have to pay both U.S. taxes, as well as taxes to the country in which they currently live—and many live in high tax jurisdictions such as the United Kingdom and Canada. “The citizenship-based taxation system financially discriminates against Americans who happen to choose to live and/or work outside U.S. borders, as is their right,” says Nigel Green, the founder and chief executive of deVere Group.
http://wealthmanagement.com/blog/expats-seek-tax-overhaul
No FATCA reporting etc. for clarity
Does this safe harbor deal let me only get my foreign earned pension taxed in country of origin ?
My house sale exempt by US tax ?
No US death tax ?
Not many positive comments
https://www.facebook.com/DemsAbroad