4th July 2014
Rules requiring financial institutions to disclose the identity and activity of US citizens have come into effect, meaning wealth managers must from today verify their clients’ tax residency on the opening of new accounts to comply with the US Foreign Account Tax Compliance Act (Fatca). Fatca aims to detect and deter tax evasion by US citizens using accounts held abroad, but places the reporting responsibility on firms and national tax authorities instead of the individual.
Source: Financial Times (02/07/2014)
