Discussion in 'Business & Tax Advice' started by Qokaine, Dec 12, 2009.
yup,they sure do
Do they also report the balance in your account? or just notify them that you have a bank account?
If the IRS ever demands it, most banks will give away your account records without a subpoena. If you are looking for a way around taxes, you should look into getting an offshore bank account in a tax haven + getting a debit/check card.
But if you use a debit card associated with an offshore bank account in the U.S. wouldn't there be a record of the transaction sent to the IRS?
I always hear of stories of people using their debit card to buy things in the U.S. with their offshore money....and eventually get caught by the IRS.
Almost every bank abroad will automatically forward information about any new account to the respective country if there is an agreement. The black list of 'uncooperative' countries lists those who would not do it for everyone.
The bank looks at your citizenship and sends out the details. This is the real reason why so many countries make it so hard to have a dual citizenship. Switzerland must report on foreigners but if you are an American and a Swiss you would simply use your Swiss passport/ID to open an account and nothing could ever happen.
They report more than you know. If there is anything that would trigger a SAR ( suspicious activity report ) they will file one. The latest FACTA rule by the IRS has them reporting all sorts of stuff about you.
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