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2012 Jan 27 – Godrey

Mike Godrey
US Treasury aims to lower FATCA burdens
Tax-News (27 Jan 2012)


Godrey reports on remarks made by Acting Assistant Secretary for Tax Policy, Emily McMahon about provisions for FATCA implementation being in “the final stages of clearance at the United States Treasury and the Internal Revenue Service (IRS).” McMahon traces FATCA measures to “a series of events in 2008 and 2009 involving very serious instances of offshore tax evasion” and U.S. government intention to cover “significant gaps [that] remained in the system.” Adjustments include (1) setting higher threshholds for reporting (2) use of existing provisions on money laundering and know-your-customer (3) expansion of categories of FFIs that are deemed compliant (4) exception for retirement plans (5) less immediate linkage responsibility attributed to affiliated institutions (6) seeking to use foreign governments as intermediaries for the required reporting.

Written by usxcanada

27 January 2012 at 6:00 am

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