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2013 July 1 – FATCA

 
FATCA interview with Bill Yates
Angloinfo (1 July 2013)

http://blogs.angloinfo.com/us-tax/2013/07/01/fatca-interview-with-bill-yates-former-attorney-office-of-associate-chief-counsel-international-irs/

This Part I (see 22 July 2013 for Part II) interview by Virginia La Torre Jeker with former high-level IRS employee Bill Yates reveals insider perspective on IRS development of Form 8938.

Section 6038D was enacted in order to put the kind of foreign bank account reporting required by Form 90-22.1, Foreign Bank Account Report (FBAR), under Title 26, the Internal Revenue Code. FBAR reporting is required pursuant Title 31, the Bank Secrecy Act. Because of this, IRS could not initiate an audit of a taxpayer based solely on an FBAR filing. The taxpayer being examined had to have an underlying Title 26 issue. Only with a Title 26 issue could IRS use account information found on an FBAR in furtherance of an audit or exam of the taxpayer. Hence, Congress gave IRS section 6038D, Title 26 of the Internal Revenue Code. In short, Congress gave IRS its own FBAR.
 

Written by usxcanada

1 July 2013 at 7:00 am