THE TRANSATLANTIC MAGAZINE
THE TRANSATLANTIC MAGAZINE
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Scottish MP raises FATCA in Parliament
SNP MP Martyn Day asked the Chancellor for updates on US/UK dialogue
Martyn Day, Member of Parliament for Linlithgow and East Falkirk, representing the Scottish National Party, has raised the topic of FATCA in a written question to the Chancellor of the Exchequer, Sajid Javid.
The written question, on October 8, 2019, asked "what recent representations he has made to his counterpart in the US Administration on the creation of accidental Americans through the US Foreign Account Tax Compliance Act." The Government's response, issued by Jesse Norman, Financial Secretary to the Treasury and Paymaster General, said "It is a matter for the US government to determine how US tax obligations are calculated. This includes how these obligations apply to people born in the US. The US has a long-standing policy of taxing on the basis of citizenship rather than residence. The Foreign Account Tax Compliance Act is a reporting mechanism that obliges financial institutions to report the details of US citizens to the US. UK Government officials continue to actively and regularly engage with their US counterparts regarding US citizens who are resident in the UK."
In December 2018, Labour MP Preet Kaur Gill posed then Chancellor Philip Hammond a similar question, with the Government's answer broadly offering a similar response.
2019 has certainly seen further dialogue on FATCA and topics relating to overseas Americans, and accidental Americans, and the existance of another question on the topic is significant. Perhaps more significant is that it comes from an SNP Member of Parliament. The SNP recently rallied to the cause of American Dr Elizabeth Ford, an academic living in Scotland who has been forced to leave the UK due to a home office error. Writing a recent Op-Ed for The American about her experience, Dr Ford concluded by saying "An independent Scotland, however, would (will?) be an entirely different story and something I hope to see within the next five years."
We have asked Mr Day for further comment on his question - it will be interesting to see what the SNP's perspective on FATCA and its effect on Americans in Scotland could be.
