(iExpats)-- FATCA is a law that has had a huge impact on the financial world and American taxpayers, but few people in the United States have ever heard of it, reports IExpats.
The Foreign Account Tax Compliance Act (FATCA) intrudes on the lives of millions of US expats worldwide.
In many countries, they cannot carry out everyday financial tasks like opening a bank account or borrowing money.
Banks and other financial institutions in every country in the world have the burdensome task of monitoring every client for their links to the States – and if they are US taxpayers, they must report the personal details and financial status to the Internal Revenue Service (IRS).
FATCA was mean to crackdown on offshore tax avoidance by Americans but developed into a massive trawl of the world’s financial institutions on the off chance some hidden treasure might be unearthed.
Now, lobbyists who want FATCA repealed are asking President Donald Trump to sign off an executive order that will consign FATCA to the garbage bin.
The Republicans made an election pledge to repeal FATCA and now their man is in power, they want him to act fast.
“FATCA is an extraterritorial diktat that burdens financial institutions in other countries and their clients, which violates the sovereignty of other countries and is detrimental to their consumers and taxpayers.” Said one of the leading anti-FATCA campaigners, Nigel Green, CEO of the world’s largest independent IFA for expats, deVere Group.
“FATCA turns law-abiding, middle-class Americans living overseas, of whom there are approximately 8 million, into financial pariahs,” leading to record numbers of US citizenship renunciations.”
Green is supported by former US diplomat and long-time Senate leadership staffer Jim Jatras of the media and government relations firm Global Strategic Communications Group. Together they are co-ordinating the Campaign to Repeal FATCA.
“Nigel’s deciding to step up to the plate is just tremendous,” said Jatras.
“Billions of dollars have been wasted worldwide complying with FATCA, billions of words have been written complaining about it. Now it’s time for action. When that tax bill gets to President Trump’s desk, we want FATCA repeal in it.”