Home | News    Wednesday 2 April 2014

Sudanese banks to implement US law targeting tax evasion

separation
increase
decrease
separation
separation

April 1, 2014 (KHARTOUM) – The Central Bank of Sudan (CBoS) has directed all commercial banks in the country to implement provisions of the of the US Foreign Account Tax Compliance Act (FATCA) by 1 July.

JPEG - 22.3 kb

FACTA is a US law designed to crack down on offshore tax evasion by American citizens through requiring most foreign banks and investment funds to report to the US Internal Revenue Service (IRS) information about US customers’ accounts worth $50,000 or more.

Even though FACTA was signed into law since 2010, it will only go into effect this upcoming July. The United States is one of the few nations that levies taxes on its citizens’ income earned abroad.

At a workshop held in Khartoum this week on FACTA, the Lebanese banking expert Antoine Dagher said that this law will be used to calculate taxes on US citizens in their country of residence.

Banks not adhering to FACTA could face stiff penalties, including a withholding of up to 30% on their US-invested money, he said.

Both the managing director of the Sudanese French Bank, Mahjoub Shubbu, and former CBoS governor, Saber Mohamed al-Hassan, warned that non-compliance could place local banks under global pressure that would threaten its international dealings.

The US signed bilateral agreement with a number of countries on the implementation of FACTA. Sudan is not one of those nations and it is not clear if CBoS will relay information to the IRS on the US citizens’ accounts or whether the individual banks would do so.

Sudan is subject to comprehensive economic sanctions since 1997 over terrorism charges as well as human right abuses. Further sanctions, particularly on weapons, have been imposed since the 2003 outbreak of violence in the western Darfur region.

(ST)

Comments on the Sudan Tribune website must abide by the following rules. Contravention of these rules will lead to the user losing their Sudan Tribune account with immediate effect.

- No inciting violence
- No inappropriate or offensive language
- No racism, tribalism or sectarianism
- No inappropriate or derogatory remarks
- No deviation from the topic of the article
- No advertising, spamming or links
- No incomprehensible comments

Due to the unprecedented amount of racist and offensive language on the site, Sudan Tribune tries to vet all comments on the site.

There is now also a limit of 400 words per comment. If you want to express yourself in more detail than this allows, please e-mail your comment as an article to comment@sudantribune.com

Kind regards,

The Sudan Tribune editorial team.

Comment on this article


 
 

The following ads are provided by Google. SudanTribune has no authority on it.


Sudan Tribune

Promote your Page too

Latest Comments & Analysis


Referenda in Scotland and South Sudan told a tale of two cities 2014-09-21 06:01:02 By Mahmoud A. Suleiman September 20, 2014 - This article comes against the backdrop of the referendum in Scotland and southern Sudan in the years 2014 and 2011, respectively, and the result was (...)

Undermining South Sudanese expertise’s is ironical! 2014-09-19 10:15:59 By Peter Gai Manyuon September 18, 2014 - The recent order from the Ministry of Labor and Public Service in the Republic of South Sudan that was issued on 16th of September 2014 is absolute (...)

Sudan - Colliding interests 2014-09-16 10:04:11 By Mohamed Elshabik September 15, 2014 - Sudan seems to be unconcerned by the current political crisis in the region. Amid a prognosis of full-scale war in South Sudan, unrest in Egypt, chaos in (...)


MORE








Latest Press Releases


Sudan Democracy First Group: Art as resistance – art as resilience 2014-09-09 12:34:15 Sudan Democracy First Group Art as Resistance – Art as Resilience September 8, 2014 - To mark the third anniversary of the resumption of civil war in Blue Nile and Nuba Mountains/South Kordofan, (...)

Sudan: Those behind unlawful killings and torture of protesters must be brought to justice 2014-09-03 13:13:43 Amnesty International Sudan: Those behind unlawful killings and torture of protesters must be brought to justice The brutal suppression of protest in Sudan must end, and members of the security (...)

National Dialogue in Sudan: Past experiences and current challenges 2014-08-27 06:18:22 Sudan Democracy First Group (SDFG) Since independence, Sudan has undergone a number of national peace agreements, some of which were observed and honored for short periods, others which were (...)


MORE

Copyright © 2003-2014 SudanTribune - All rights reserved.