Originally posted by sven What would be the use of such info for the Central Bank?

Sorry, mistake... make that the RF....  They're all one in the same.

Originally posted by sven Originally posted by DUNGA As to the 'way', the banks may seem disorganized at the branch management level but I would imagine that the databases are well maintained and up to date. Unfortunately, a data search for for account holders who are also U.S. nationals might be as likely to turn up those with account balances of R$30,000 as R$30,000,000, and turning over a mountain of data (for the IRS to sort out) might be a matter of national pride.Who knows? They way (possibility) may be there, but that will never happen. The Receita does not even have the possibility to look into the bank accounts of Brazilians unless they have a court order. Court orders are only possible in case of crimes. CPMF tax was held up for a long time because it allowed the IRS to have a view of what people had in their bank accounts, or at least their spending patterns.

I believe that the way the doctrine on this actually operates is that the RF can, and does, look at bank information (which most people believe is protected) but can not act on it without a court order. I have read this more than once. Next time I see something about it I will provide a link.

US citizens have to report all worldwide earnings, whether they've nationalized or not in another country. The tax break one gets living outside the US is just over $90K, non-taxable so I'm gonna mail the form and hope for the best, but sleep well at night. Reporting only what was in a foreign account on Dec. 31 could be considered tax evasion, just as not reporting would, is the way I read it. It says the "highest amount" during the calendar year, right?

Originally posted by Gringo.Floripa Originally posted by Dom Pedro Naturalize and put all your accounts under Brazilian ID. That would only work if one then actually renounced their US citizenship.  Unless that happens, as far as Tio Sam is concerned, once a US citizen, ALWAYS a US citizen!  Meaning, always held liable for taxes, wherever you may live, however you might earn income.Death   and taxes    ... ya can't hide (forever).

Well, first of all not always a US citizen. There is a way to renounce US citizenship. However - if you put your accounts on your brazilian ID, you will be off the list for any agreement Receita could possibly have with IRS, as the account will legitimately belong to a Brazilian citzen. If you want to be bullet-proof, there is an option of changing your name to portuguese sounding, when you naturalize. So if IRS will ask for information of american John Smith nobody will give them the one of a brazilian João Ferreira.

Originally posted by Gaita US citizens have to report all worldwide earnings, whether they've nationalized or not in another country. The tax break one gets living outside the US is just over $90K, non-taxable so I'm gonna mail the form and hope for the best, but sleep well at night. Reporting only what was in a foreign account on Dec. 31 could be considered tax evasion, just as not reporting would, is the way I read it. It says the "highest amount" during the calendar year, right?

This is different from the foreign earned income exclusion.  No tax is due on these accounts, they just need to be declared by June 30th of the following fiscal year.  That may one day change (the tax issue).  When it does, time to put my cash into a coconut plantation! 

Yes, technically it is the "highest amount" during the calendar year.  Yet consider: if I have 16 thousand reais on Jan 1st @ a 1.60 rate (10 thousand USD), and then in April, the rate is 1.70 (9,411 USD), then July a 1.50 rate (10,666 USD), then December, we get a blimp to 2.25 (7,111 USD)....  Meu Deus no ceu!!!  I have to draw the line somewhere.  Right or wrong, the amount on 31/12 is what they get from me (and it's usually higher then anyway, because of interest earned throughout the year).



Edited by Gringo.Floripa - 06 June 2011 at 18:14