The U.S. is pursuing tax overseas and is urgently targeting people

The U.S. is pursuing tax overseas and is urgently nailing people. News from Taipei: The U.S. government is pursuing tax collection and is pursuing financial institutions in Taiwan. According to the Economic Daily report of this newspaper, the U.S. government requested Taiwan’s financial institutions...

The U.S. pursues tax overseas and urgently targets people. Taipei news: The U.S. government pursues taxes and pursues financial institutions in Taiwan. According to this newspaper's Economic Daily report, the U.S. government requires Taiwanese financial institutions to sign contracts with them before the end of next year to check whether they have U.S. customers and provide their income information to the U.S. Internal Revenue Service. If financial institutions are unwilling to sign contracts with the U.S. government, and future businesses invest in the United States, all interest income and capital gains will be subject to a 30% punitive tax burden. This new regulation may cause a major earthquake in personal data in Taiwan's financial industry, including banks, insurance, securities, and investment credit companies. All banks, insurances, securities, and investment credit companies will not be able to stay away. The Banks Association and the Life Insurance Association have both set up project groups to study how to respond to the new U.S. regulations. The U.S. Foreign Account Tax Compliance Act (FATCA) will be enacted on New Year's Day, 2013. This bill is mainly to prevent Americans from evading taxes abroad. Therefore, the U.S. Internal Revenue Service bypasses foreign competent authorities and directly requires global financial institutions to sign the "Foreign Financial Institution Agreement", requiring them to provide account data of U.S. customers, including comprehensive disclosure of income, income, and capital gains. This regulation puts Taiwan's financial institutions in a very difficult position. Due to the confidentiality of personal information, financial operators cannot provide customer information to the U.S. government, but the U.S. threatens them with punitive taxation. Industry insiders say that the U.S. capital market is so big that it is impossible not to invest. If a 30% tax burden is imposed, investment returns will be greatly harmed. The new FATCA regulations in the United States will take effect on New Year's Day, 2013. Financial industry players point out that unless they are prepared to never invest in the United States, financial institutions must sign a contract with the IRS before 2013. The U.S. tax system is based on a "subject-based" approach, and all income earned at home and abroad is taxed. Since 2009, the U.S. government has become more proactive in monitoring overseas accounts. It has ordered that those with U.S. citizenship must honestly declare financial assets outside the U.S., otherwise they will be fined up to 50% of the amount of tax evaded. The IRS has long stipulated that any overseas deposits, securities, mutual funds or retirement accounts exceeding US$10,000 must be reported. In August 2009, at the request of the United States, UBS Group provided a list of 4,450 American wealthy people who had committed tax evasion, which attracted worldwide attention.