Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

2/7/2014 (1 year ago)

Catholic Online (www.catholic.org)

Set to take effect in July, agreement will require foreign banks to share information on American accounts

With billions of federal income lost to tax dodgers every year, both the United States and Canada have entered into a tax information-sharing pact. However, there are challenges remain in implementing a U.S. international tax transparency law.

An intergovernmental agreement, FACTA aims to address Canadian government concerns that may violate domestic privacy laws and burden financial institutions.

An intergovernmental agreement, FACTA aims to address Canadian government concerns that may violate domestic privacy laws and burden financial institutions.

Highlights

By Catholic Online (NEWS CONSORTIUM)

Catholic Online (www.catholic.org)

2/7/2014 (1 year ago)

Published in Americas

Keywords: Tax dodgers, FACTA, United States, Canada


LOS ANGELES, CA (Catholic Online) - Set to take effect on the first day of this coming July, President Barack Obama's Foreign Account Tax Compliance Act, or FATCA will require foreign banks to share information about Americans' accounts worth more than $50,000 with the Internal Revenue Service, or IRS.

A scandal involving Americans hiding away profits in Swiss bank accounts in 2010 resulted in a web of bilateral tax deals between the U.S. and 22 other countries, with Canada and Hungary the latest signatories.

For that someone who is hard to shop for --


"The agreements announced today clearly demonstrate the considerable international support behind FATCA," Robert Stack, the U.S. Treasury Department's deputy assistant secretary for international tax affairs, said in a statement.

The movie is being challenged by two banking industry groups. Both the Texas Bankers Association and the Florida Bankers Association say they are appealing the dismissal of a lawsuit they brought last year that challenged rules meant to help the U.S. implement FATCA.

Political opposition on the law gained traction last week when the Republican National Committee called for FATCA's repeal. The move sided with big banks, libertarians and American expatriates opposed to the law.

FATCA, critics say, is an example of government overreach that will jeopardize personal financial privacy. Dissenting, supporters say it is needed to combat widening offshore tax avoidance.

Other banking associations have called for FATCA to be delayed by six months, arguing that the government has not provided enough guidance about how to comply with it.

Signed into law by Obama, FATCA has been delayed twice. Authorities have struggled to finish drafting the various rules and forms that the banks say they need to comply. Foreign banks that do not comply could effectively be frozen out of U.S. capital markets.

An intergovernmental agreement, FACTA aims to address Canadian government concerns that may violate domestic privacy laws and burden financial institutions.

"Canada engaged in lengthy negotiations with the U.S. government to address our concerns, and as a result, significant exemptions and other relief were obtained," Canadian Finance Minister Jim Flaherty said in a statement.

Under FACTA, Canadian tax authorities will collect information from the country's banks and share it with the IRS under an existing bilateral tax treaty.

Pope Francis calls for your 'prayer and action'...

---


Pope Francis: end world hunger through 'Prayer and Action'


Copywriter 2015 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for June 2015
Universal:
That immigrants and refugees may find welcome and respect in the countries to which they come.
Evangelization: That the personal encounter with Jesus may arouse in many young people the desire to offer their own lives in priesthood or consecrated life.


Rosaries, Crosses, Prayer Cards and more... by Catholic Shopping .com


Comments


More Americas

Modern man marvels at Inka Road -- 500-years-old, still standing - built without the wheel Watch

Image of Running through areas some 16,000 feet high, the road cuts through prairies, forests, deserts, valleys and mountains.

By Catholic Online (NEWS CONSORTIUM)

Modern man has a lot to learn from the ancient Incas. As a testament to their engineering and water management skills, the great Inka Road - more than 500 years old, and criss-crossing through six nations of Colombia, Ecuador, Peru, Bolivia, Chile and Argentina ... continue reading


Mexico's Supreme Court legalizes same-sex marriages in all 31 states Watch

Image of Same-sex couples wishing to marry are able to obtain injunctions against the laws limiting marriages to heterosexuals.

By Catholic Online (NEWS CONSORTIUM)

Declaring the definition of marriage as only the union of a man and a woman as discriminatory and unconstitutional, Mexico's Supreme Court has legalized same-sex marriage for all 31 states. LOS ANGELES, CA (Catholic Online) - "Procreation" was not a purpose for ... continue reading


Aboriginal women in Canada more likely to fall prey to domestic violence, murder Watch

Image of The federal police force said that last year 1,017 aboriginal women had been murdered between 1980 and 2012, while another 108 were missing under suspicious circumstances.

By Catholic Online (NEWS CONSORTIUM)

Canada's aboriginal women are frequently marginalized and under-represented in the Great White North. Tragically, the one thing that these women are over represented in is Canada's homicide rate. While comprising only 4.3 percent of the female population, ... continue reading


Church confirms that demons are running loose in Mexico, prompting a radical exorcism Watch

Image of In May the nation of Mexico was exorcised in an effort to save the country from violence and anarchy.

By Matt Waterson (NEWS CONSORTIUM)

The high level of violence and crime in Mexico, as well as the government corruption and ability of drug cartels to run portions of the country with immunity have led some senior officials in the Catholic Church to fear that the country is totally at the mercy of ... continue reading


Meet the 'Children of the Moon': Panama villages' albinos make up 10 percent of population Watch

Image of [Photo by: Reuters]

By Hannah Marfil (NEWS CONSORTIUM)

Mythologically believed to be descendants of the sun, as its "grandchildren," albinos must be kept away from the sun as it can cause them a painful, slow death. With sensitive skin and eyes, they are physically endangered by the sun. Albino children only get to ... continue reading


El Salvador teen MS-13 gangsters 'barbarically' rape 16-year-old girl in NYC Watch

Image of Pictured: Jose Cornejo, 17 (Suffolk County DA)

By Talia Ramos (NEWS CONSORTIUM)

Held without bail and charged as adults with rape, assault, sexual abuse, robbery and other crimes, three teenagers from the MS-13 gang plead "not guilty." Bryan Larios, 18, Joel Escobar, 17, and Jose Cornejo, 17, reportedly raped a 16-year-old girl after threatening ... continue reading


DEFENDING REPUTATION: Red Cross defends work in Haiti after expose says group built only six houses Watch

Image of The American Red Cross dismissed the report as lacking in

By Stella Dawson, Thomson Reuters Foundation

The Red Cross has defended its work in Haiti following a devastating earthquake five years ago after a media investigation found it had only built six houses despite raising nearly half a billion dollars in donations. WASHINGTON (Thomson Reuters Foundation) - ... continue reading


President Obama vows to stand tall on human rights when negotiating with Cuba Watch

Image of Worshipers look up as U.S. President Barack Obama (C) visits the Shrine of Our Lady of Charity in Miami, Florida, May 28, 2015. Leading Obama is Father Juan Rumin Dominguez..

By Catholic Online (NEWS CONSORTIUM)

In his visit to Miami, U.S. President Barack Obama has promised Cuban priest Father Juan Rumin Dominguez that he will defend human rights. While the president restored diplomatic relations with Cuba late last year, the president reiterated that Cuba's human ... continue reading


Mexican gun battle ends with 43 shot to death Watch

Image of The New Generation Cartel has killed more than two dozen police and soldiers since March.

By Catholic Online (NEWS CONSORTIUM)

A three-hour gun battle between government forces and a drug cartel at a ranch in the western Mexican state of Michoacan has ended with 43 shot and killed. Suspected gang members and police began a massive standoff. According to authorities, only one of the dead ... continue reading


Castro so impressed with Pope Francis he may 'go back to the church' Watch

Image of The pontiff

By Catholic Online (NEWS CONSORTIUM)

Cuban President Raul Castro thanked Pope Francis at the Vatican this past weekend for his work establishing a new Cuban-U.S. detente. Castro, known for his harsh treatment of dissidents - that has brought condemnation from the Vatican - said he was considering ... continue reading


All Americas News

Newsletters

Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Daily Readings

Reading 1, Genesis 19:15-29
15 When dawn broke the angels urged Lot on, 'To your ... Read More

Psalm, Psalms 26:2-3, 9-10, 11-12
2 Probe me, Yahweh, examine me, Test my heart and my ... Read More

Gospel, Matthew 8:23-27
23 Then he got into the boat followed by his ... Read More

Saint of the Day

Saint of the Day for June 30th, 2015 Image

First Martyrs of the See of Rome
June 30: The holy men and women are also called the “Protomartyrs of ... Read More

Inform, Inspire & Ignite Logo

Find Catholic Online on Facebook and get updates right in your live feed.

Become a fan of Catholic Online on Facebook


Follow Catholic Online on Twitter and get News and Product updates.

Follow us on Twitter