U.S. Looks to Swiss Banks for Names as Money Isn’t the Issue
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Swiss banks may be looking to hand over billions of dollars and the names of roughly 5,000-10,000 American citizens who have been stashing money in the country in an effort to avoid the IRS.
Rumors suggest the list may include several financial institutions which have been accused of assisting clients in hiding funds and assets from the IRS. Switzerland has been under a lot of pressure to release the names and accounts of citizens from other countries who are attempting to dodge taxation. The country has paid fees to other countries, including Germany and the U.K., in an effort to keep the accounts private. When it comes to the U.S., however, the money really isn’t the issue.
According to Bloomberg, the Swiss government will provide a final decision for the Foreign Affairs Committee of its Parliament’s upper house on November 10th. The country plans to settle this once and for all, but really hopes to keep face as a safe and secure place for anyone to place their money.
The U.S. government is not only looking to punish the Americans who are hiding their assets; instead officials are focused on the financial firms who are assisting in the effort. A source has said at least 11 financial institutions are named in the U.S. probe including Credit Suisse (NYSE: CS), HSBC Holding Plc. (NYSE: HBC), Basler Kantonalbank, Wegelin & Co., Zuercher Kantoalbank, and Julius Baer Group.
This is not the first time the U.S. has gone after financial institutions for assisting in tax evasion. Back in 2009, UBS (NYSE: UBS) was fined $780 million and was forced to hand over the names on 250 secret accounts, which then lead to the disclosure of another 4,450 accounts.
Since 2009, the IRS claims 30,000 U.S. taxpayers have avoided prosecution by paying back the missed taxes, entering a limited amnesty program, and by snitching on who helped them hide their funds.
While Germany and the U.K. were happy with just receiving a portion of the missed tax revenue, the U.S. government wants the names also. Due to recent plans by the U.S. government to tax the more wealthy and in an effort to acquire more revenues, the government hopes to figure the actual value and worth of its citizens.
A majority of the banks said they are cooperating with the U.S. government and hope to resolve the issues.
Rumors suggest the list may include several financial institutions which have been accused of assisting clients in hiding funds and assets from the IRS. Switzerland has been under a lot of pressure to release the names and accounts of citizens from other countries who are attempting to dodge taxation. The country has paid fees to other countries, including Germany and the U.K., in an effort to keep the accounts private. When it comes to the U.S., however, the money really isn’t the issue.
According to Bloomberg, the Swiss government will provide a final decision for the Foreign Affairs Committee of its Parliament’s upper house on November 10th. The country plans to settle this once and for all, but really hopes to keep face as a safe and secure place for anyone to place their money.
The U.S. government is not only looking to punish the Americans who are hiding their assets; instead officials are focused on the financial firms who are assisting in the effort. A source has said at least 11 financial institutions are named in the U.S. probe including Credit Suisse (NYSE: CS), HSBC Holding Plc. (NYSE: HBC), Basler Kantonalbank, Wegelin & Co., Zuercher Kantoalbank, and Julius Baer Group.
This is not the first time the U.S. has gone after financial institutions for assisting in tax evasion. Back in 2009, UBS (NYSE: UBS) was fined $780 million and was forced to hand over the names on 250 secret accounts, which then lead to the disclosure of another 4,450 accounts.
Since 2009, the IRS claims 30,000 U.S. taxpayers have avoided prosecution by paying back the missed taxes, entering a limited amnesty program, and by snitching on who helped them hide their funds.
While Germany and the U.K. were happy with just receiving a portion of the missed tax revenue, the U.S. government wants the names also. Due to recent plans by the U.S. government to tax the more wealthy and in an effort to acquire more revenues, the government hopes to figure the actual value and worth of its citizens.
A majority of the banks said they are cooperating with the U.S. government and hope to resolve the issues.
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