Swiss & EU Countries’ Steps Encourage U.S. FBAR & Foreign Asset Reporting
Recently the Swiss Parliament voted to approve amendments to the existing Income Tax Treaty with the U.S. to allow U.S. tax authorities to identify more easily U.S. taxpayers with undeclared Swiss financial accounts, although the amendments still require ratification by executive authorities of both governments. In addition, France, Germany, Italy, Spain and the UK recently expressed support for proposed regulations under the U.S. Foreign Account Tax Compliance Act (FATCA).
These developments are reminders of the need to comply with –
- The U.S. requirements and voluntary disclosure program with respect to Foreign Bank Account Reports – including those due by June 30, 2012 for the year 2011 – as discussed most recently in our Alert first dated January 31 then amended March 15, 2012, and
- The US requirements for individuals to disclose certain foreign assets beginning with the year 2011 – for which their income tax returns (or extension requests) are due by April 17, 2012 – as described in our Alert dated August 18, 2011 and our reminder of February 28, 2012.
Observation: With regard to these U.S. requirements, we have developed for 2011 a Foreign Bank Account and Foreign Asset Organizer for use by our Tax Compliance clients. Such clients should feel free to contact their respective EisnerAmper tax professionals to make use of this tool.