Honourable Jim Flaherty, P.C., M.P.
Minister of Finance
House of Commons
Ottawa, ON
K1A 0A6
Honourable John Baird, P.C., M.P.
Minister of Foreign Affairs
House of Commons
Ottawa, ON
K1A 0A6
Dear Ministers:
RE: United States Internal Revenue Service; Enforcement Policy against Dual Canadian-US Citizens
As you are aware, the United States Internal Revenue Services is pursuing a series of measures aimed at addressing tax evasion and the use of offshore accounts to shield assets from US taxation. As you are further aware, these measures have been directed at Canadian citizens who are residents of Canada holding US citizenship in a most punitive, unfair, and unacceptable manner. These measures include the imposition of onerous filing and reporting requirements, unreasonable penalties (even in the absence of any taxes owed) and privacy-violating disclosure obligations.
Our riding offices have received calls and letters on almost a daily basis from constituents who are dual citizens. They are justifiably concerned with, and upset at, the prospect of disclosing their confidential banking information to an agency of a foreign government, particularly when they have no earnings there. In many cases these accounts are held jointly with Canadian-born spouses who are forced to disclose their information to the IRS. All are fearful of heavy penalties on their families’ savings in Canada for non-compliance with US tax laws they did not know were relevant.
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