Wednesday, June 4, 2014

77,000 Foreign Banks to Share Tax Info with IRS

More than 77,000 foreign banks, investment funds and other financial institutions have agreed to share information about U.S. account holders with the IRS as part of a crackdown on offshore tax evasion, the Treasury Department has announced.

The list includes 515 Russian financial institutions. Russian banks had to apply directly to the IRS because the U.S. broke off negotiations with the Russian government over an information-sharing agreement because of Russia's actions in Ukraine.

Nearly 70 countries have agreed to share information from their banks as part of a U.S. law that targets Americans hiding assets overseas, including Switzerland, the Bahamas and the Cayman Islands.

Starting in March 2015, these financial institutions have agreed to supply the IRS with names, account numbers and balances for accounts controlled by U.S. taxpayers.

Under the law, foreign banks that don't agree to share information with the IRS face steep penalties when doing business in the U.S.

(Via CNBC)


1 comment:

  1. Meh.... if everyone used Bitcoin, this would be a non-issue. All it takes is some data mining and internet spying to locate the tax cheats. Cashless society for the win! Backed by big names in US, China, India. The convergence is inevitable.

    Even Reggie Middleton has gone over to the Dark Side of the Coin. See Zerohedge for details.