Liberty and justice for all United States persons abroad

The Isaac Brock Society

New Zealand Govt introduces FATCA IGA implementation to Parliament

Posted on by Posted in Issues regarding US persons abroad 70 Comments

http://www.knax.co/2013/11/fatca.html?spref=tw

Taxation Bill introduced today includes rules allowing people to comply with foreign account information-sharing agreements.

The United States Foreign Account Tax Compliance Act (FATCA) legislation is due to take effect on 1  July 2014. Under FATCA, financial institutions, regardless of their location, will be required to report on certain United States account holders directly to the United States’ Internal Revenue Service, or face a withholding tax on United States sourced income of 30%.

It is proposed that New Zealand enter into an “intergovernmental agreement” (IGA) with the United States, to significantly reduce the compliance costs of FATCA for New Zealand financial institutions. Negotiations for such an agreement are currently underway.

The provisions in the Bill will enable financial institutions to comply with the IGA, and any future similar agreements.

70 thoughts on “New Zealand Govt introduces FATCA IGA implementation to Parliament”

  2. @osgood now everyone knows that New Zealand views United States Personhood as a superior claim on the ownership of people.

  3. Another letter writing route is this angle. The discrimination against NZers in Aus based on citizenship/national-origin is a hot issue. It’s analogous to the FATCA issue but with the added twist of FATCA being discrimination against NZers in NZ. The pols can’t take an anti-discrimination stand on the first issue without doing the same on the other.

    David Cunliffe (leader of opposition) would be ripe for targeting letters at:
    http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=11163790

    Moby

  4. Thnx Moby… Good Point… I was just reading that article tonight…

    Wondering if you were around and reading occasionally. I have him on my list and the local Labor guy up here in Northland. Farmer John and I are going to see him, and team up TPP and FATCA playing the sovereignty angle… Might add this to the mix…

  7. @badger…
    Thanks for that blog post. I tweeted it to PM John Key and the Labor opposition leader David Cunliffe, who btw, started following me on twitter after I tweeted him about FATCA last night… You never know.. Probably just some staffer mildly interested in an opposition point against National. We shall see.

  8. Jane Kelsey: TPPA end game can only come from dirty compromises

    Next week, Trade Minister Tim Groser plans to sit down in Singapore with his counterparts from the US and 10 other countries and begin the horse-trading over the secret text of the Trans-Pacific Partnership Agreement (TPPA). Serious horse-trading.

    But if this deal really is the end game, as they claim, an outcome can only be the product of quick, dirty and dangerous compromises, principally by countries other than the US. It will also see trade ministers making decisions that properly belong to current and future ministers of health, environment and local government, among others. And, of course, they will do so in secret.

    Last month any deal seemed near impossible. The 12 countries were poles apart on the most controversial issues, such as medicines, internet freedom, agriculture markets, preventing financial crises, foreign investors’ rights to sue governments, data privacy, and more.

    More than half the 29 chapters had serious issues that were unresolved.

    Three were in dire straits. The intellectual property text from August, which WikiLeaks posted on the web, showed a sustained kick back against Hollywood and Big Pharma’s demands.

    I might try reaching out to Jane again on FATCA. Last email contact I had was last year around Christmas. She has been adamantly opposed to NZ surrender of sovereignty on many of the issues on the table, and would love to have her come to see FATCA in the same light…

  9. @Just Me, here’s hoping that every scrap of information and criticism helps. At any rate, overall, when I look back at where we were at this time in 2011, I am amazed.

  10. @badger

    That blog post you found from NZ was right on the money. Just out of interest, how did it pop up on your radar? I’m very keen to see anything like this posted in NZ, but I wouldn’t have seen this had you not found it. Thanks

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  12. Another angle:

    The Attorney-General has to report to parliament on rights implications of bills: http://www.legislation.govt.nz/act/public/1990/0109/latest/DLM225503.html

    The AG called out another bill today on rights grounds:
    http://www.stuff.co.nz/national/crime/9471125/Tougher-drink-drive-law-needs-changing

    I suggest targeting Minister Finlayson to make sure his Section 7 report on the bill implementing FATCA needs to come to a similar conclusion as per the alcohol bill but this time on discrimination grounds.

  13. @Badger… Did you see the question above from Osgood?

    how did it pop up on your radar? I’m very keen to see anything like this posted in NZ, but I wouldn’t have seen this had you not found it. Thanks

    I would add a “Me too” to his comment…

    Excellent New Comment by John Smith in response to a posting by an FCC New Yorker on the Kiwiwit…

    It is the 9th and 10th comment down…

    http://kiwiwit.blogspot.ca/2013/11/fatca-legislation-and-agreement-is.html.

    Nate –

    Thank you for your contribution to this discussion. At least it shows that these blogs are reaching a wide audience.

    I guess, “as an American lawyer managing FATCA compliance for one of the world’s largest asset management firms in New York”, it is hardly surprising that you are a FATCA apologist. After all, you are probably doing very nicely indeed on the back of FATCA compliance, and there’s no end in sight for the gravy train, the “gift that keeps giving” – all paid for by foreign institutions and foreign governments and their taxpayers.

  15. boy oh boy is that kiwi blogspot an interesting and scary read

    that chap who is the american fatca lawyer sure puts the pro america might makes right flag waving pro argument

    i guess if he is making a living off of fatca however he needs to say that

  16. @mettleman

    I see some responses to Dan, not that he will listen. Still can’t leave him unchallenged. 🙂

  17. @osgood and @just me, apologies, haven’t been able to keep up on all the threads here.
    re; https://isaacbrocksociety.ca/2013/11/21/new-zealand-govt-introduces-fatca-iga-implementation-to-parliament/comment-page-3/#comment-728663
    It was happy chance I found that I think, though since I am interested in the issue of FATCA as a breach of sovereignty and rights, I might have done this search; (fatca AND sovereignty OR rights)

    Or this; fatca AND nz OR “new zealand” , and then add AND sovereignty, as in: fatca AND nz OR “new zealand” AND sovereignty OR rights
    https://www.google.ca/search?q=fatca+AND+nz&ie=utf-8&oe=utf-8&rls=org.mozilla:en-US:official&client=firefox-a&gws_rd=cr&ei=0nufUsn2GoqhrAGY1oCIAg#q=fatca+AND+nz+OR+new+zealand+AND+rights+OR+sovereignty&rls=org.mozilla:en-US%3Aofficial&tbs=qdr:y

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