The Straits Times
Published on Nov 09, 2012

US in talks with dozens of nations on anti-tax dodge pacts


WASHINGTON (REUTERS) - In a step toward reining in offshore tax evasion, the US Treasury Department on Thursday said it was close to finalising tax information-sharing pacts with countries ranging from Canada to islands such as Guernsey and the Isle of Man.

The Treasury listed 47 jurisdictions, from India to Sint Maarten, that are in various negotiation stages on formal agreements governing how their local financial businesses can comply with the US Foreign Account Tax Compliance Act (Fatca).

The department's statement said the Cayman Islands, Gibraltar and Liechtenstein are talking with Treasury about Fatca compliance. These nations are widely viewed as tax havens.

Enacted in 2010, Fatca requires financial institutions that have accounts held by Americans valued at more than US$50,000 (S$61,300) to report some client information to the Internal Revenue Service.