Foreign Remittance Accountability and Transparency Act
Summary
The Foreign Remittance Accountability and Transparency Act directs the Comptroller General and the Secretary of the Treasury to investigate and report on foreign government programs that facilitate Federal tax evasion. The study will identify foreign programs supporting remittance transfers from the US, determine if they bypass US tax laws intentionally, and assess their scope and financial volume.
The Act requires a report to Congress within 180 days of enactment, including study results and policy recommendations for enforcement or regulatory responses.
This aims to enhance transparency and accountability in foreign remittance programs, potentially addressing tax evasion concerns.
Expected Effects
The Act will likely lead to increased scrutiny of foreign government programs related to remittances. This could result in new regulations or enforcement actions to prevent tax evasion. The report to Congress will inform future policy decisions in this area.
Potential Benefits
- Increased transparency in foreign remittance programs.
- Potential reduction in Federal tax evasion.
- Improved enforcement of tax laws.
- Informed policy decisions based on study results.
- Greater accountability for foreign governments facilitating tax evasion.
Most Benefited Areas:
Potential Disadvantages
- Potential for increased compliance costs for individuals and businesses involved in remittances.
- Possible strain on diplomatic relations with countries whose programs are scrutinized.
- Risk of unintended consequences from new regulations.
- The study may not uncover all instances of tax evasion.
- Limited scope, focusing solely on foreign government programs.
Constitutional Alignment
The Act aligns with the constitutional power of Congress to levy taxes and regulate commerce (Article I, Section 8). It also supports the government's responsibility to ensure fair and efficient tax collection. The Act does not appear to infringe on any individual rights or liberties protected by the Constitution or its amendments.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).