In its pledge to seek financial transparency, the Holy See (the ecclesiastical jurisdiction of the Catholic church) signed on to become the newest member to FATCA, the U.S. Foreign Account Tax Compliance Act, that requires banks and financial information to report certain financial information of U.S. Citizens and permanent residents directly to the United States if the accountholder¹s assets exceed $50,000.
Taxpayers concerned with compliance regarding offshore accounts should contact a reputable tax practitioner to determine whether they qualify for the IRS¹ Offshore Voluntary Disclosure Program or its streamlined procedures which allow taxpayers to come into compliance with limited or no financial penalties.
More than 100 nations have agreed to comply with the law, in lieu of being frozen out of U.S. Markets or being forced to withhold 30% of payments made to U.S. Account holders who are non-compliant with FATCA¹s laws. For more information on FATCA, click here.
