Patrick Cain has a new article out today at Global news: http://globalnews.ca/news/1110254/are-hints-of-delay-key-to-interpreting-ottawas-silence-on-fatca/
Category Archives: Issues regarding US persons abroad
URGENT: Q121 – Ted Hsu Questions to Parliament has insufficient answers! (cross-post from Maple Sandbox)
From Maple Sandbox: Finally a response, but few answers to Ted Hsu questions.
Let’s start reading and helping Ted Hsu in quest to get answers for us from the Canadian Parliament!
As bubblebustin points out:
Virginia La Torre Jeker believes that the US-Swiss Programme will serve as a template for banks in other countries:
http://taxconnections.com/taxblog/swiss-continue-to-cave-in/#.UufpvHmtuYU
Finally, the government “responds to Ted Hsu’s questions.
But, Dr. Hsu says:
You can see the response to my Order Paper Question on FATCA. It is a long response (226 pages in both official languages), but it’s surprising how few answers there are to a 55 part question! For instance, on page 75 I asked the Minister of Finance to provide a list of specific individuals and groups he had consulted with regarding FATCA and the response was simply that “The Government of Canada has consulted and has been contacted by individuals and groups to discuss the implications of FATCA and an IGA in Canada.” I also asked which studies and analyses the Department of Finance had undertaken with respect to FATCA, and was told that “The Department of Finance is reviewing the implications of FATCA on an ongoing basis. FATCA has raised a number of concerns in Canada- among both dual Canada-U.S. citizens and Canadian financial institutions.”
As Dr. Hsu also says:
We all deserve better answers from the government.
He’s asking for our help:
I know there is a lot of expertise out there to help analyse and pick through this response. So I invite you to do so on my facebook, and please let me know what you find.
Thank you!
Ted
I haven’t had time to review the “response” yet because I wanted to quickly get this posted. After we have had time to read this, I hope we will all pitch in and share a “lot of expertise ” to analsye this for Dr. Hsu.
Yikes! Lots to do. Help Dr. Hsu, do submission to help friends in New Zealand, write articles, organize information session. Have a life?
I understand from one of Dr. Hsu’s staff that “responses” to Scott Brison’s questions are expected later this week. I think we should be prepared for more weaseling.
The accusation of hatred towards the United States
I won’t take to heart the accusation that I hate the United States–a refrain from a commenter Adam West at Think Progress. It is not surprising that those Homelanders who support Obama, see dissension on extra-territorial taxation, FATCA, and citizenship as unpatriotic. As too often occurs, nationalism and political partisanship become mixed into an idolatrous blend. Back when George W. Bush was president, these same people often insisted that their protests against him were not unpatriotic. Who can forget Hillary Clinton’s passionate plea for the right to question the current administration?
Today’s “Must Read and Use Accordingly”: US Senate Finance Committee Submission by John Richardson*, Willard Yates**, Stephen Kish***
US Senate Finance Committee Submission–Richardson, Yates and Kish
Cross-posted from Maple Sandbox: US Senate Finance Committee Submission — Richardson, Yates and Kish
Here’s an excellent submission (Request for Tax Rule Changes) to the U.S. Senate Finance Committee.
This was written by *Toronto lawyer John Richardson, ***University of Toronto professor Dr. Stephen Kish and (this is huge!) **U.S. attorney Willard Yates. Mr. Yates’ involvement is significant because he retired from Office of Associate Chief Counsel (International) (ACCI), Internal Revenue Service after 31 years of service.
The 32 page comprehensive submission deals with everything from problems of citizenship based taxation to the financial and psychological costs of renouncing US citizenship. Despite the complexity of issues covered, it is quite easy to understand for most of us who have been around this issue for a while (although newbies may very well find it overwhelming and frightening).
The report is also posted at citizenshipsolutions.ca , John Richardson’s Canadian website designed to counsel US citizens abroad who find themselves having to live in a FATCA and FBAR world.
badger said:
January 26, 2014 at 2:48 pm
This goes a long way to explaining why NZ should not go any further with a FATCA IGA:
US Senate Finance Committee Submission–Richardson, Yates and KishPerhaps a submission could include it, preface it, and add any other comments that the submitter felt needed elaboration or was specific re NZ?
For years, American banks have been rejecting American clients
| US banks don’t want US clientsAdmittedly, «certain American banks in Switzerland have been following a policy of rejecting US clients for years».
The CEO of a large financial institution in Geneva anonymously confirmed this: He himself, a US citizen, was rejected by Morgan Stanley in Switzerland. The main reason wasn’t so much the fear of of the IRS and the US Department of Justice, but rather a central policy of preventing the private banking business from being cannibalized by offshore branches in Switzerland. In other words, it is quite possible that US banks in Switzerland will be untouched by the tax conflict between the US and Switzerland, but due to various reasons. |
US-Banken wollen keine US-KundenAllerdings hätten «gewisse amerikanische Banken in der Schweiz seit langem die Politik gehabt, US-Kunden gar nicht zu akzeptieren».
Der Chef eines grossen Genfer Finanzinstituts bestätigt dies anonym:Er selber sei, da US-Bürger, von Morgan Stanley in der Schweiz abgewiesen worden. Hauptgrund scheint offenbar nicht so sehr die Furcht vor dem IRS und den heimischen Justizbehörden gewesen, sondern eine Politik, bei der die US-Zentrale sich ihr Private-Banking-Geschäft nicht durch die Schweizer Ableger kannibalisieren lassen wollte. Mit anderen Worten: Gut möglich, dass die US-Banken in der Schweiz tatsächlich relativ heil herauskommen aus dem Steuerstreit zwischen den beiden Ländern. Aber dies aus allerlei Gründen. |
Source: US tax program? Who cares…
| US Program: Foreign banks profitSwiss banks are stuck in the US-tax pillory. US institutions, on the contrary, are taking the situation in a relaxed manner.
Banks with no relation to the US legal conflict are at an advantage. This is why J.P. Morgan can only win, says Andrea Tardy, the managing director of the American bank to the economic paper «L’Agefi». The Geneva branch is the second largest private banking unit of the bank after New York, yet it in Switzerland it focused on the local offshore market, wrote «L’Agefi». |
US-Programm: Auslandsbanken profitierenSchweizer Banken stehen in den USA am Steuer-Pranger. US-Institute in der Schweiz scheinen dagegen der Sache gelassen gegenüber zu stehen.
Banken ohne Bezug zu den US-Rechtstreitigkeiten seien im gegenwärtigen Umfeld im Vorteil. Deshalb könne J. P. Morgan nur gewinnen: Dies sagte Andrea Tardy, Managing Director bei der amerikanischen Grossbank, gegenüber der Wirtschaftszeitung «L’Agefi». Zwar sei die Genfer Niederlassung nach New York die zweitgrösste Private-Banking-Einheit des US-Instituts, doch hierzulande habe sie sich lediglich auf den lokalen Onshore-Markt fokussiert, schreibt «L’Agefi» weiter. |
Source: US Program: Foreign banks profit
The Stereotype of the Wealthy US Expat
Victoria Ferauge is quoted in this Global News article out today, helping to dispel the myth of the wealthy US expatriate.
Young Turks Attack Americans Abroad
#FATCA attack: Bank card blocked to force answer: Are you #Americansabroad??
#Americansabroad in Belgium and FATCA law?, Antwerp forum http://t.co/vgwSccg6J9 – blocking bank card until USness disconfirmed!
— U.S. Citizen Abroad (@USCitizenAbroad) January 27, 2014
Article includes:
So my husband’s bank account was blocked and he couldnt use his card anymore. He went to his bank to see what the problem is. he thought maybe his card was not working right.
At his bank they told him that they blocked his account and that he couldnt get his money. They got their orders to block all US citizens accounts until they can prove that they dont owe taxes to the US.
Ottawa to share info collected at border
Border officials to share travellers’ info with federal government http://t.co/tKhehkYgns via @torontostar
— U.S. Citizen Abroad (@USCitizenAbroad) January 27, 2014
The article begins with:
Robert W. Wood Teeters On The Fence
Forbes’ Robert W. Wood is clearly feeling conflicted these days, as he asks:
Is Opposing FATCA Supporting Tax Evasion?
I’ll resist too much editorializing for now and simply urge as many Brockers and Sandboxers as possible to get over there and help Mr. Wood (and his trusty side-kick Lesperance) to get in touch with their inner consciences and come out forcefully on the right side of history.
There is nothing inevitable about FATCA except that our grandchildren will surely be reading about it in school some day. There is still plenty of time to change the course of history, as Nelson Mandela taught the entire world. This is hardly the time to give up, and methinks Mr. Wood just needs a bit more cogent and positive encouragement. Remember, we’re all basically on the same side, so let’s start getting it together.