United States and Singapore Buddy Up on Tax Evasion
For those who are still not convinced that the United States is serious about tracking down tax dodgers who are trying to hide money in offshore accounts, here’s one more piece of evidence that might change your mind. In a deal announced last week, the country of Singapore says it has come to terms with the U.S. on an agreement to share information regarding overseas account holders.
Under the new deal, financial institutions in Singapore will now be able to report any information it has regarding U.S. account holders in the country. Those financial institutions will share the information with local tax authorities in Singapore, who will then turn that information over to the IRS. That means those institutions can avoid dealing directly with the IRS,
This deal is another move by U.S. tax authorities to crack down on anyone trying to avoid their tax bill. Banks and other institutions in Singapore, as well as many other countries in Asia and across the globe, are coming to terms with the IRS and agreeing to turn over financial records of U.S. account holders as part of the U.S.’s Foreign Account Tax Compliance Act (FATCA).
If these firms choose to ignore FATCA, the consequences can be costly. According to the terms of FATCA, any institution that does not comply could be stuck with a withholding fee of 30 percent on their U.S. investment income. They could also essentially be locked out of U.S. capital markets.
If you are still noncompliant then now may be the time to get some help. Call us today at GROCO at 1-877-CPA-2006, or contact us online.
Budgeting For Your Business
Budgeting For Your Business “Your business opportunities improve with the use of a budget, a powerful tool which assists you in achieving your financial goals.” Introduction: A well-designed budget helps you: Predict income and expenses Control cash flow Communicate financial goals As an entrepreneur, you may not have the time or financial expertise to establish…
Deducting Start-Up Expenses: An Open Or Shut Case
Deducting Start-Up Expenses Starting a business typically takes more than a little know-how. More often than not, it requires cold, hard cash. However, there is some good news — you may qualify for a little help from Uncle Sam in the form of a tax deduction for some of your start- up costs. The costs,…
Putting Kids to the Test
Putting Kids to the Test by Elizabeth Bowden-David This past week, my father-in-law called up my husband to give him an earnest admonition. Referring to Cicero, he said: “Understand that is it your duty to give your children a better education than you had.” I’m not sure what prompted him to remind us of this…
Survive the Recession by Starting Your Own Business
Survive the Recession by Starting Your Own Business Are you an entrepreneur at heart? Many Americans idolize the American Dream; the “get rich quick” mentality. But, how many make it happen? Starting a business requires hard work, and even then it is not guaranteed that it will succeed. In fact, in the US, only 51%…