| Summary: | 碩士 === 東吳大學 === 法律學系 === 104 === Since the Foreign Account Tax Compliance Act (FATCA) became law of the United States in March 2010, the foreign financial institutions (FFIs) have to report information of U.S. taxpayers with foreign accounts to the Internal Revenue Service (IRS) under FATCA. If FFIs do not sign a FFI Agreement with IRS or not disclose honestly, FFIs will be deduct and withhold 30% of the amount of certain payments from U.S. To avoid being withheld upon, FFIs have to search their records for indicia indicating U.S. person-status, to report the assets and identities of such persons to the U.S. Department of the Treasury and to withhold 30% on certain payments to foreign payees if such payees do not comply with FATCA. Therefore, FFIs need put in the compliance cost on labors, money and time, and such cost borne by FFIs would far outweigh the revenues raised by the U.S. Treasury. It also has objections and controversies to implement FATCA in the U.S., but IRS won’t stop. At the same time, the countries and the organisations of the world implement and intensify all kinds of anti-avoidance measures one after another. In addition to FATCA signed into law by U.S. in 2010, OECD published the "Base erosion and profit shifting (BEPS)" report in 2013. Anti- avoidance has become the world trend currently. After the Panama Papers revealed by the ICIJ in 2016, it strengthen the determination of the countries of the world on transparency and exchange of information for tax purposes.
The dissertation starts at the point of view of the global tax enforcement transparency, and introduces the history and the origin of the cross border recovery tax, then explains the legislative background and purpose of FATCA, outlines the contents of FATCA. After introducing the measures of OECD, describes the new measures about tax of global and our country, and points the problems what our country is facing with. Secondly, explains the contents of FATCA, introduces the models of Intergovernmental Agreement (IGA), and presents the countries which have signed IGA currently, summarizes the disputations and situation after implementation of FATCA. Finally, discusses how FATCA impacts on FFIs, and gives examples how FFIs response to FATCA.
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