About FATCA – The “worst law nobody has heard of” …
FATCA (The Foreign Account Tax Compliance Act) was signed into law – as a revenue offset provision to the Hire Act – in March of 2010. It is doubtful that Congress even knew that FATCA was part of the HIRE Act (“Hiring Incentives To Restore Employment”). Yet, FATCA has created havoc in banking systems around the world, has destroyed the lives of the citizens and residents of other nations (who just happen to have been born in the United States), led to many Americans abroad renouncing their U.S. citizenship and forced banks to waste tens of millions (and this is conservative) of dollars in compliance fees. Interestingly FATCA has also led to other countries actually changing their domestic laws (overriding their own constitutions) to “hunt” for people with a U.S. birthplace. FATCA has generated significant hatred of America and has severely eroded America’s “moral capital” during a time when China is challenging the United States for global supremacy.
FATCA has recently been part of an inquiry by the Government of France into the “overreaching” of U.S. laws. Nigel Green of the Devere Group has joined with Jim Jatras to lobby for the repeal of FATCA.
2012 – The world according to FATCA – For the compliance industry: “The Gift That Just Keeps on Giving” …
2013 – The Pre-IGA World: Looking back at FATCA in December of 2013
2014 – The FATCA IGAs are signed: At Home In Canada – The genesis of the ADSC Lawsuit – Opposition Rising …
2015 – Meanwhile, In The Homeland – The Bopp FATCALegalAction.com Lawsuit begins …
Interestingly, in August 2016, Dr. Stephen Kish, a plaintiff in the Bopp lawsuit and Chair of the Alliance For the Defence of Canadian Sovereignty renounced his U.S. citizenship.
Listen to the legal arguments …
December 2016 – Advocacy For Americans Abroad Fails: U.S. Treasury refuses proposed FATCA Same Country Exemption for Americans Abroad (but not for “Accidental Americans”) …
To be clear, much of the FATCA harm caused to “some” Americans abroad could be alleviated with the FATCA Same Country exemption (proposed by “ACA” and “Democrats Abroad”). FATCA SCE could be achieved by regulation. In December of 2016, U.S. Treasury refused to support a regulation creating the FATCA Same Country Exemption.
The Obama administration was:
1. Aware of the harm that FATCA was causing to Americans abroad (leaving aside the harm to the rest of the world); and
2. Refused to provide relief for Americans abroad!
2017 – The world according to FATCA – Hearings in Washington, D.C. …
On April 26, 2017, at the initiative of Congressman Mark Meadows and Senator Rand Paul, “FATCA Hearings” will take place in Washington, DC. Although FATCA has been the subject of much discussion outside of the United States, there has been little discussion of FATCA inside the United States. FATCA is NOT well known in the United States.
The “Little Red FATCA Book” Documenting the “Worldwide Hunt” for “U.S. Persons” …
The “Little Red FATCA Book” is a collection of posts that I created over an 18 month period. I have decided to collect the individual posts and organize them in one place. I have grouped the individual posts into seven broad chapters (reflecting evolution and topic) which I will call:
- Chapter A – How FATCA impacts the non-U.S. world: Describing The Harm and Impact – Parts 1 – 25
- Chapter B – The Canadian Response – The Alliance For The Defence Of Canadian Sovereignty and the FATCA Lawsuit Against The Government of Canada – Parts 26 – 27
- Chapter C – The 2017 Meadows Bill: What Does FATCA Repeal Actually Mean? – Part 28 – 29
- Chapter D – The 2018 Posey initiative:
- Chapter E – 2018 The European Union Fights Back (well maybe)
- Chapter F – General: Fixing FATCA Through “Regulation” instead of through “Legislation”
- Chapter G – General: When enacting FATCA: What Did Congress Know and WHEN Did Congress Know It?
This is a “work in progress”. Some of the individual posts are incomplete and subject and are likely to be revised.
FATCA which is essentially the enforcement mechanism of U.S. “Place of Birth Taxation” is a controversial topic. Feel free to post your thoughts and comments.