The U.S. is negotiating with Japan and Switzerland on detailed procedures for sharing U.S. account holders' offshore bank information under an anti-tax-evasion law scheduled to take effect in 2013, the Treasury Department announced.
Banks and financial institutions from around the world have been complaining to the U.S. about the burdens caused by the Foreign Account Tax Compliance Act, or Fatca. The agreements announced today are part of the governments' efforts to create a smoother process for information exchange.
Under the law, overseas banks will be required to inform the Internal Revenue Service annually about the balances and activity in their U.S. customers' accounts. The U.S. can impose a 30 percent tax on some U.S.-related payments being sent to financial institutions outside the country that don't comply with the rules.
Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.
Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Thought leadership on regulatory changes, economic trends, corporate success stories, and tactical solutions for treasurers, CFOs, risk managers, controllers, and other finance professionals
- Informative weekly newsletter featuring news, analysis, real-world case studies, and other critical content
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the employee benefits and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
