Michael Recently, our bank in Germany notified us that they no longer want our money. A new tax law called FATCA , the so-called "Foreign Account Tax Compliance Act", extends the reach of the U.S. tax bureaucracy deeply into Europe, where it, via treaties ratified by European governments, forces banks to report data on accounts owned by U.S. residents back to U.S. tax authorities. Banks in Germany, for example, are obligated to report to the U.S. Internal Revenue Service (IRS) on a regular basis, which U.S. residents have how much money stashed away in foreign accounts, to make sure those investors don't forget to pay their taxes in their country of residence.
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