The number of American expats in the UK declaring their offshore assets to the US taxman has surged in 2017, amid fears that an Obama-era tax amnesty could be curtailed or ended by the Trump administration.
A lot more financial institutions could find themselves caught by the Common Reporting Standard (CRS) requirements despite being exempt from Fatca reporting, Allan Wilkinson, associate director of chartered accountancy firm Buzzacott, has warned.
US citizens with federal tax debt of more than $50,000 (£39,973, €46,830) may have their passports revoked by the State Department, a move that could have a greater impact on Americans living overseas.
Details of bank accounts belonging to more than 315,000 Canadian residents were shared with the US Internal Revenue Service (IRS) in 2016 under the Fatca agreement, more the double the previous year.
America’s Internal Revenue Service (IRS) has shared details of more than 35,000 US accounts held by Israeli citizens with the Israel Tax Authority (ITA), according to local media.
The United States will become the last global tax haven as the Common Reporting Standard (CRS) comes into force, making a repeal of Fatca very unlikely, says Nuri Katz, chief executive and founder of Apex Capital Partners.
Expats in the UAE have been advised that banks and other financial institutions will be contacting some of their customers to collect information about their tax status in early 2017, reports local newspaper Gulf News.
Compliance with the Foreign Account Tax Compliance Act (Fatca) by those institutions affected by it is now well advanced, but the picture is much less clear for individuals affected by the new rules, says David Andrews, executive director (international private clients) at HFM Columbus.
What a game changer the election of Donald Trump as US president is likely to be across so many fronts.
US president-elect Donald Trump must show some backbone and repeal the Foreign Account Tax Compliance Act (Fatca) as a priority, says deVere founder and chief executive Nigel Green.
Guernsey chief minister, Gavin St Pier, has written to the US ambassador to the UK asking him to extend the island’s congratulations to Donald Trump on his election win.
The US Foreign Account Tax Compliance Act (Fatca) could be repealed when Donald Trump becomes president if the Republican Party sticks with its 2016 policy platform, despite more than $9.9bn (£8bn, €9bn) being paid through voluntary compliance efforts.
