This Is an Urgent Campaign to Repeal FATCA ALERT!
Support the Paul Amendment to Repeal FATCA!
November 29, 2017
This week the Senate version of the tax reform bill will come to the Senate
floor. The Campaign to Repeal FATCA has learned that Senator Rand Paul
(R-Kentucky) plans to offer as a floor amendment his bill S. 869 to repeal
the so-called “Foreign Account Tax Compliance Act (FATCA).
The Campaign to Repeal FATCA is asking everyone immediately to contact your
Senators with this simple message:
“Support the Paul Amendment to Repeal FATCA!”
You can find the contact information for your state’s two Senators
here. Given the partisan divide
in the Senate, it is especially important to contact Republican Senators. If
your state has one from each party, contact the Republican first!
Here is a suggested draft message you can use via the email contact. (NOTE:
If you are contacting a Democratic Senator, please delete the sentence in
red referring to the Platform.):
Dear Senator [Name]:
As your constituent, I strongly urge you to support the floor amendment to
be offered by Senator Rand Paul to repeal the so-called Foreign Account Tax
Compliance Act, or FATCA. Despite the claims of its sponsors when it was
passed in 2010, FATCA is a failure in its supposed aim to recover offshore
tax assets hidden by “fat cats.” Instead, it has imposed massive costs on
middle class Americans, violated Americans’ privacy without probable cause,
and led to a huge increase in U.S. citizenship renunciations. The 2016 GOP
Platform called for the repeal of this wrongheaded Obama-era law – and the
Republican Party should keep its promises! Please support the Paul Amendment
to repeal FATCA!
[Name, location]
In addition, if you represent an organization, please issue a statement in
support of the Paul Amendment to repeal FATCA and send it to Senate offices
and distribute via social media.
Time is of the essence. Thank you for your help at this critical moment!
Nigel Green and Jim Jatras
Co-Leaders, Campaign to Repeal FATCA
Further information points on why FATCA must be repealed follow:
The GOP called for repeal in its 2016 Platform. “The Foreign Account Tax
Compliance Act (FATCA) and the Foreign Bank and Asset Reporting Requirements
result in government’s warrantless seizure of personal financial information
without reasonable suspicion or probable cause. Americans overseas should
enjoy the same rights as Americans residing in the United States, whose
private financial information is not subject to disclosure to the government
except as to interest earned. The requirement for all banks around the world
to provide detailed information to the IRS about American account holders
outside the United States has resulted in banks refusing service to them.
Thus, FATCA not only allows ‘unreasonable search and seizures’ but also
threatens the ability of overseas Americans to lead normal lives. We call
for its repeal and for a change to residency-based taxation for U.S.
citizens overseas.”
FATCA fails in its stated purpose of recovering tax revenues. On enactment
in 2010, FATCA was scored as raising about $800M per year. According to
Texas A&M law professor William Byrnes, actual recoveries are closer to
$100-200M per year and falling. FATCA will soon cost more than it brings in.
FATCA is an indiscriminate violation of privacy. FATCA data reporting
requires no probable cause or even suspicion. Unlike domestic 1099s and W2s,
no taxable event is required. Compliance burdens fall disproportionately
upon people of moderate means, few of whom are engaged in evasion or owe any
tax. Foreign banks’ denying services to Americans leads to increased U.S
citizenship renunciations.
FATCA is costly. Estimates of global compliance spending rely on aggregation
of per-institution costs: millions for each small bank, hundreds of millions
for a big one. One projection puts cumulative cost at $58 to $170 billion.
This is an order of magnitude greater than any recoveries from FATCA.
FATCA relies on Obama-era Executive overreach. Because of other countries’
privacy laws, FATCA is unenforceable without so-called “intergovernmental
agreements” (IGAs) invented by Tim Geithner’s Treasury Department. The IGAs
are not authorized by statute or submitted to the U.S. Senate as treaties.
FATCA threatens our domestic financial industry. Reciprocal “Model 1” IGAs
promise “reciprocity” from U.S. domestic banks. This threatens massive
FATCA-like costs on U.S. banks and consumers.
Keeping FATCA on the books risks future harm. The OECD, which for years has
sought to extinguish personal financial privacy and create a worldwide
financial data fishbowl, has praised the IGAs as a “catalyst” to that end.
If FATCA remains on the books, the next Democrat Administration and Congress
may press reciprocity on domestic American financial firms to create a
global FATCA – or “GATCA.” This is the opposite of what the GOP Platform
promised.
Transparency is when citizens monitor government.
When government monitors citizens, that’s tyranny.
Done. Florida senators Nelson (D) and Rubio (R).
I just received a similar message from a legislative assistant to Rand Paul I had been conversing with some time ago (trying to push Paul into including a CBT repeal into the mix). He says:
“Good morning,
Senator Rand Paul will introduce his FATCA repeal bill as an amendment to the FY 2018 Budget Reconciliation legislation (tax reform). For far too long the IRS has been able to conduct mass collection of financial data on U.S. citizens who are living overseas. The information the IRS is able to collect on U.S. citizens living abroad is not allowed domestically. FATCA not only violates the 4th Amendment but it also hinders international finance. The 30 percent withholding tax for banks that do not comply with FATCA has caused disruption in the financial marketplace, and forces banks from holding accounts of U.S. citizens. Senator Paul feels it is important to be a voice for the estimated eight million U.S. citizens living abroad.
Feel free to join Senator Paul in support of repealing FATCA. Below is additional information on FATCA that was provided by the Campaign to Repeal FATCA. Feel free to share it with stakeholders and members of Congress.
Vernon [Robinson, LA to Senator Paul]”
A thought:
The above message you are requested to send to Senators is limited to FATCA.
Consider adding (close to the top of the letter) a one sentence additional request something like:
“In addition, I ask that you support in the tax reform bill the repeal of citizenship-based taxation, which is enforced by the FATCA law.”
[No need to mention TTFI or RBT etc.]
Debate will start later this evening on the overall bill. Amendment votes will probably late Friday into the weekend.
For FATCA Repeal it is now or never.
http://www.taxanalysts.org/tax-analysts-blog/fatca-repeal-it-s-now-or-never/2017/11/29/198701
RO speaks.
https://www.facebook.com/story.php?story_fbid=765914173592380&id=187406564776480
Great to see yet another 11th Hour effort! Our cause is not peopled with folks who just fade away when it looks like things aren’t going well. We keep fighting to the bitter end. But let’s get CBT to hit the sewer along with FATCA! I want to wake up to a huge splash sometime this weekend!
@MNM
How many 11th hours are there in a day?
For FATCA Repeal, It’s Now or Never
Robert Goulder , Contributor
https://www.forbes.com/sites/taxanalysts/2017/11/29/for-fatca-repeal-its-now-or-never/#5b7147133ed1
IRS Medic on: Support the Paul Amendment to Repeal FATCA!
https://www.irsmedic.com/blog/2017/11/paul-amendment-fatca.html
Friends
Senator Paul will offer his amendment tomorrow AM. We hope to get it into a managers amendment.
PLEASE keep those calls to Senate offices coming! FATCA is not a high-profile issue, so even a few voices all on one side will stand out.
Also, it is not now “or never.” If this amendment fails — and there’s a good chance it could succeed — that doesn’t mean the cause is lost. FATCA is NOT tax legislation, nor is the repeal bill. If needed, there would be other opportunities on financial regulatory legislation. HOWEVER, let’s not worry about Plan B when we still can deliver on Plan A. Support the Paul Amendment, let’s get this done NOW and not have to worry about “never.”
Ron PaulVerified account @RonPaul
3h3 hours ago
I hope the Senate rejects the carried-interest tax increase and joins @RandPaul in repealing the anti-privacy FATCA.
https://twitter.com/RonPaul/status/936015898707623936
Hello everyone
I just tweeted this and suggest you all do the same to get a big voice in social media today.
Start writing @senator and Twitter will suggest many for you to tweet to.
You can also copy and paste my tweet
Please Support the Paul Amendment to Repeal FATCA! https://t.co/Bw5Tm55p3j @SenTedCruz @SenatorDurbin @senatorshoshana @SenJeffMerkley @senorrinhatch @SenatorTimScott @SenatorHeitkamp
@SenatorCollins
@SenBobCasey
@Senators
Do it now, don’t wait !
Best to all
Steven
“How many 11th hours are there in a day?”
Two.
A long time ago, even a long time before a Canadian invented standard time, the period of daylight was divided into 12 hours and the period of darkness was divided into 12 hours. The phrase “11th hour effort” referred to a battle conducted during the last hour of daylight.
Since a day has two parts, both a day and a night, there must be another 11th hour. Regarding some of the battles that could be fought before the darkness faded away, some authors wrote rather lurid reports but for unknown reason they’re not as famous as military battles.
Depending on season, daytime hours were longer or shorter than nighttime hours.
I don’t know why it wasn’t “12th hour effort”.
Sent my letters to Senators Maria Cantwell and Patty Murray of Washington state. Not sure what good this will do but considering the political climate and the total disarray of the congress and senate just sitting back hoping for change is not enough.
The days of our government being controlled by us is over. The deep government is largely socialists, being the creation of the Democrats who controlled our system when the Civil Service act was passed. They have controlled who came in and who leaves. Socialists stay and conservatives are all long gone. They were whom Gorbachev (former soviet first sec of the communist) called the aparachek. He explained ,it is the apprarus of government. Politicians come and go but the aparachek stays and makes wvery law passed fit their political image. Congress will pass some kind of Tax Bill but they will write their version and issue the regulations that will operate just as they want it to. The Manifesto is in every desk at the IRS and is consulted when any new law is written . They get away with it because they stay and politicians leave.
I also have a copy (of the Manifesto) in my desk, but for far different reasons. Liberals love it and capitalists hate it
Done: Senators Jeff Flake (R-AZ) & John McCain (R-AZ).
@ Mary Jo Wilson
Rand Paul pushed through the pain of 6 rib fractures and bruised lungs to put forth this amendment to repeal FATCA. You used your 10 nimble fingers to support him and help nudge FATCA repeal forward. Well done!
@ Fred (B)
Wonderful … you supported Rand Paul and poked mean old John McCain too.
Friends
It’s D-Day on FATCA repeal! The Senate comes in at 10:30 EST. Senator Paul plans to offer his amendment soon thereafter. I am trying to get a more precise read on the time. You can watch proceedings live here: https://www.senate.gov/floor/index.htm
Note that there will not be an immediate vote on the Amendment. A key indicator will be if anyone stands up to oppose him, and in particular what if anything the Floor managers of the bill say. The hope will be if there’s no opposition to get the managers to accept the amendment as part of what is called a manager’s amendment that will be added to the bill at some point by a straight party-line vote. Alternatively, it could be voted on near the end of the proceedings — maybe tomorrow — during what is called a vote-o-rama with votes on multiple amendments. Ain’t it fun watching sausage being made?
If you have not weighed in with your two Senators yet, please do so! Especially since there is likely little public comment on this, a few or even one call or email can make a difference! Congressional offices tend to focus on the ratio of constituent contacts pro and con. If they get, say, three calls and they’re all on one side that turns into “Senator, our calls are 100% in support of the Paul Amendment.” That’s what we want!
All hands on deck!
Thanks
Jim
http://www.valuewalk.com/2017/11/fatca-rand-paul/
Jim: THANK YOU!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Send a letter to my two senators? This is the whole stinkin’ point! I don’t have two senators…I’ve lived in Canada my whole life, other than a brief moment in time following my birth. I’m sorry I don’t have anything objective, or subjective, or constructive, or remotely anecdotal to add to the conversation. Still amazed that this is a ‘thing’ in 2017. Back to lurking…thanks to all who have put so much energy into this.
Rand Paul’s amendment to repeal FATCA is now available on the Senate website.
https://www.congress.gov/amendment/115th-congress/senate-amendment/1623
No sign of anything from Heller or anyone else related to TBT/RBT.
Yes, thank you, Jim and Tim, for keeping us informed! Our fates are literally in the balance RIGHT NOW!
KEY VOTE: ATR Urges YES Vote on Sen. Paul Amendment to Repeal FATCA
https://www.atr.org/key-vote-atr-urges-yes-vote-sen-paul-amendment-repeal-fatca
Senator Rand Paul (R-KY) has introduced an amendment to the Tax Cuts and Jobs Act that repeals the Foreign Account Tax Compliance Act. ATR urges a YES vote on this amendment.
FATCA was signed into law in 2010 with the goal of stopping tax evaders that were using offshore bank accounts. However, it was designed as a blunt instrument that targets any American with a bank account overseas. Most who are forced to comply are expatriate Americans who have, little if any U.S. presence.
As a result, compliance costs far outstrip any effectiveness in curbing tax evasion. American citizens overseas have become locked out of financial institutions including banks, stockbrokers, hedge funds, and insurance. Often, it is easier for these businesses to deny US citizens service.
“FATCA is the Alternative Minimum Tax (AMT) for Americans overseas—an intrusive, complicated, painful and unfair tax regime designed to be massive overkill in hunting for coins between the cushions,” said Grover Norquist, President of Americans for Tax Reform. “We are finally abolishing the AMT—after 48 years—in the Tax Cuts and Jobs Act. We should put FATCA to sleep at the same time.”
Under FATCA, any overseas account held by U.S. citizens must be reported to the IRS. This means that millions of Americans must give up personal information and comply with burdensome IRS regulations and reporting requirements. The law requires financial institutions to collect and disclose this information. If they fail to do so, the IRS can impose a 30 percent withholding on an institution’s U.S. investments.
FATCA also requires American citizens to comply with tax filing forms if they have assets overseas meet or exceed $50,000. For overseas Americans, this means they must comply with the tax compliance laws in their country of residence in addition to IRS laws.
FATCA should be repealed as part of tax reform. Earlier this year, 23 conservative and free market groups urged Congress to repeal this burdensome law in a letter to Congressional leaders. ATR urges a YES vote.