![\"irs-tax\"](\"https:\/\/www.bahamasb2b.com\/news\/wp-content\/uploads\/2014\/02\/irs-tax.jpg\")
United States authorities have released the \u201clast substantial\u201d package of regulations to combat offshore tax evasion in the Caribbean, saying the measures were also necessary to implement the Foreign Account Tax Compliance Act (FATCA).<\/p>\n
The Department of the Treasury (DOT) and Internal Revenue Service (IRS) said the regulations make additions and clarifications to previously issued FATCA measures and provide guidance to coordinate FATCA rules with preexisting due diligence, reporting, and withholding requirements under other provisions of the Internal Revenue Code (Code).<\/p>\n
\u201cOffshore tax evasion undermines confidence in our tax system and deprives the United States of revenues necessary to protect and provide for its citizens,\u201d said DOT Secretary Jacob J. Lew.<\/p>\n
\u201cThere is significant momentum to implement FATCA across the globe, and we will continue to work closely with our international partners to combat these illicit activities and raise global tax standards,\u201d he added.<\/p>\n
The DOT said, each year, \u201csome wealthy individuals evade millions of dollars in taxes through the use of offshore financial accounts that are not reported to the IRS or other tax authorities.<\/p>\n
\u201cThis international tax evasion is illegal, contributes to the federal debt, and creates inequity within the tax system,\u201d it added.<\/p>\n