{"id":1684,"date":"2020-01-17T20:54:27","date_gmt":"2020-01-17T20:54:27","guid":{"rendered":"http:\/\/ghp.cr\/en\/?p=1684"},"modified":"2020-01-20T14:38:32","modified_gmt":"2020-01-20T14:38:32","slug":"facta-u-s-taxpayers-need-know","status":"publish","type":"post","link":"https:\/\/ghp.cr\/en\/facta-u-s-taxpayers-need-know\/","title":{"rendered":"FACTA: What is it and what U.S. taxpayers need to know."},"content":{"rendered":"[vc_row][vc_column][vc_column_text]Author: James Reilly.<\/a><\/p>\n

Overview<\/strong>.\u00a0 The Foreign Account Tax Compliance Act (FATCA), enacted by the U.S. government in 2010, is part of the U.S. efforts to combat tax evasion by U.S. taxpayers holding investments in offshore accounts.\u00a0 FATCA is not a tax, but rather a reporting obligation.\u00a0 Its purpose is to require U.S. taxpayers holding assets in foreign corporations to report that ownership.\u00a0 Under FATCA, U.S. taxpayers holding company shares outside the United States must report those assets to the Internal Revenue Service (IRS). \u00a0In addition, FATCA will require foreign financial institutions to report directly to the IRS certain information about financial accounts held by U.S. taxpayers, or by foreign entities in which U.S. taxpayers hold a substantial ownership interest. With the enactment of the Registry of Transparency and Final Beneficiaries law in Costa Rica, the Costa Rican government will know for the first time who are the U.S.shareholders of all Costa Rican corporations and will report that information to the IRS.<\/span><\/p>\n

Who needs to file?<\/strong><\/p>\n

U.S. Taxpayers living abroad.<\/strong> You must file a Form 8938 if:<\/p>\n