this may be worth some research by Canadian girls prior to FACTA taking effect on January 1st ... from
(snip)"FATCA Invades Canada
The Foreign Account Tax Compliance Act (FATCA) is a legislation that was passed in the US in 2010, However, starting in July 2014 all Canadian financial institutions will be required to report to the IRS all of the account balances of a “US Person”.
What does US tax law consider a “US person“?
A citizen of the US (including an individual born in the US but resident in Canada)
A lawful resident of the US (green card) A person residing in the US
A person who spends considerable amount of time in the US on a yearly basis “Canadian snowbirds”
US corporations, estates, and trusts
What is also worth noting is that the IRS Supplemental Notice 2011-34 lists additional criteria that, if they pertain to you, will make you eligible for scrutiny under FATCA:
1. A US residence address or a US correspondence address (including a PO box)
2. Transferring funds to an account maintained in the US or directions regularly received from a US address;
3. An “in care of” or “hold mail” address that is the sole address with respect to the client;
4. Having power of attorney or signatory authority granted to a person with a US address.
5. Married to a US person
What does this new law mean to the average Canadian Citizen? Once again, less privacy, bigger government, and greater economic inefficiencies. Complying with FATCA will surely be expensive bureaucratic work and this expense will be pushed onto the consumer. I would not be surprised if banks start charging higher fees– fees that will rob the savings of the middle class, in addition to inflation. Of course, if you pertain to any of the criteria listed above, you may be under scrutiny by your bank and may be subject to a 30% withholding tax on US source income.
Bank and credit unions will be searching all accounts looking for any indications that you might be a “US person”. For instance, receiving funds from a US source is viewed as a “connection” to the US which will require you to validate your “US person” status and/or paying taxes on that income. Failure to comply may result in the closure of your account, thus providing limited options for Canadians due to the fact of Canada’s oligopolistic banking sector. ***
Although not quite the same issue, most people in Cyprus never saw their banking crisis coming. We are not saying there will be a banking crisis here in Canada, however, it is wise to be prepared for the worst case scenario. Besides the writing is on the wall even for Canadians with the so-called “bail-in” scheme that got introduced into the 2013 economic action plan at the beginning of the year.(snip)
from
The primary area of relevance for SW readers would appear to be a scenario like Canadian camgirls who are receiving regular checks or electronic funds transfers from webcam hosts using US addresses and US banks. I'm also reasonably sure that FACTA will also be enacted by Australian, Eurozone, UK etc. banks at the same time it is enacted by Canadian banks i.e. the first of January. Thus camgirls with bank accounts in these countries who are receiving regular funds transfers from webcam hosts using US addresses and US banks may face a similar scenario.
I believe that the author's comments about the Canadian gov't's 'bail in' plans for systemically important Canadian banks stems from an assumption that, upon FACTA being enacted for Canadian bank accounts, a whole lot of Canadian bank deposits presently owned by US citizens are likely to be withdrawn and moved elsewhere. Traditionally, it has been rather easy for many 'middle class' US citizens to do some 'anonymous' banking in Canada ... which FACTA will now bring to a screeching halt ... thus removing a major reason for those US citizens to maintain Canadian bank accounts.



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