Why Are Republicans Plotting To Sabotage A Crackdown On Tax Evasion?

[ProSense]

Why Are Republicans Plotting To Sabotage A Crackdown On Tax Evasion?

By Alan Pyke

The Republican Party is poised to demand the repeal of a law that cracks down on overseas tax dodging, according to Reuters.

The Foreign Account Tax Compliance Act, or FATCA, comes into effect later this year after long negotiations with banking authorities in Switzerland, the Cayman Islands, and other countries where America’s wealthy like to park the cash they hide from American tax authorities. FATCA agreements are giving the Internal Revenue Service (IRS) and federal prosecutors unprecedented access to information on how international banks help Americans cheat on their taxes. Tax evasion by individuals and businesses robs taxpayers of about $300 billion each year, and FATCA is essential to staunching that fiscal bleeding.

If Republican National Committee (RNC) member Solomon Yue has his way, however, his party will begin fighting to repeal FATCA. The RNC “is expected to approve” Yue’s resolution adding a FATCA repeal plank to the party platform for 2014. “Repeal seems unlikely, but more political heat from Republicans could further complicate and delay implementation,” according to Reuters.

The purpose of Yue’s resolution to undermine the tax cheat crackdown appears to be more cynical than policy-based. The move is intended to help the party’s fundraising, Reuters reports, quoting multiple sources, including Yue and Cato Institute Senior Fellow Dan Mitchell. An RNC spokeswoman declined to comment because the resolution has not yet been adopted by the party, and referred ThinkProgress to Yue himself. “I see FATCA just like Obamacare,” Yue told Reuters, in that “It will attract American overseas donors.”

- more -

http://thinkprogress.org/economy/2014/01/22/3191631/fatca-tax-evasion-repeal-rnc/

[JaneyVee]

1. For the same reason criminals want less cops.

[Dark n Stormy Knight]

5. And less laws.

[GP6971]

2. Because they're republicans???????

[ProSense]

10. Or, as they like to refer to themselves,

"patriots."

[GP6971]

11. My guess is that

Most of them never served a day in their life

[kentuck]

3. Couldn't they simply add a "T" on the end ??

And make it FATCAT?

[liberal N proud]

4. They don't want to go to jail?

[ProSense]

6. Kick! n/t

[freshwest]

7. Smells kinda treasonous to me, but I don't want to wear out the term... n/t

[Cha]

8. Kick.. rhetorical.

[davidpdx]

12. I don't support the repeal of it, but I do support revising it

Many expat families are getting caught in the cross-fire of the law increasing the reporting required of assets. I'm talking about people who live overseas (many are married to a foreigner) and maintain US citizenship.

The law has been in place for sometime, but enforcement began about 4 years ago.

[ProSense]

13. This is

"The law has been in place for sometime, but enforcement began about 4 years ago. "

...a new law that takes effect this year.

[ProSense]

14. Kick! n/t

[meow2u3]

15. Republicans are now blatantly protecting superrich tax cheats

So much for the "law and order" party.