The Internal Revenue Service has issued an announcement extending the “deemed compliant” status of countries that are treated as if they had an intergovernmental agreement with the U.S. Treasury Department in place for purposes of the Foreign Account Tax Compliance Act.
FATCA, which was included as part of the HIRE Act of 2010, requires foreign financial institutions to report on the holdings of U.S. taxpayers to the IRS or else face stiff penalties of up to 30 percent on their U.S. source income. The law has attracted controversy abroad, with London Mayor Boris Johnson recently saying he would refuse to pay taxes to the IRS on the sale of a property, even though he was born in New York and holds dual citizenship in the U.S. and U.K.
Register or login for access to this item and much more
All Accounting Today content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access