IRS to Countries: Hurry Up With FATCA Reporting Enforcement

Countries won’t have forever to start turning over information on U.S.-owned bank accounts under a U.S. law, the IRS is saying.

The agency on July 29 set a year-end deadline for countries to come up with plans to enforce pacts under the Foreign Account Tax Compliance Act. Those pacts, known as intergovernmental agreements, ease the process for foreign jurisdictions to give account data to the Internal Revenue Service.

Enacted in 2010, FATCA requires foreign banks to tell the IRS about accounts held by U.S. persons or face a 30% withholding tax on their U.S.-source income in some cases.

In Announcement ...