Swiss Lower House Rejects UBS Pact (won't turn over names of tax dodgers)

[Dover]

Source: Wall Street Journal

Vote Jeopardizes a Deal to Turn Over Names of Suspected Tax Cheats to the U.S.; Bonus Ire.


A deal to resolve the U.S. government's tax battle with UBS AG was jeopardized Tuesday when Switzerland's lower house rejected a bill that would have allowed the government to provide the U.S. with the names of UBS account holders allegedly dodging American taxes.

Last August, the U.S. and Switzerland reached a deal to settle a case involving hidden offshore accounts at the banking giant. The U.S. accused UBS of having helped thousands of Americans avoid paying taxes at home by setting up the offshore accounts. UBS admitted wrongdoing and agreed to hand over the names of 4,450 American account holders to the U.S. Internal Revenue Service by August.

However, in January, a Swiss court ruled that the deal broke domestic laws. In April, the government presented a special bill that would have laid the legal groundwork to enable it to hand over the names. Last week, the Swiss Senate approved the bill.

The U.S. Internal Revenue Service said Tuesday it is prepared to reopen the case against UBS should the Swiss miss the August deadline. "We expect that the Swiss government will continue to honor the terms of the agreement," said a statement from IRS spokesman Frank Keith. "We stand ready to pursue all legal options available to us should the Swiss fail to provide the required information."

cont'd



Read more: http://online.wsj.com/article/SB10001424052748703302604575293980430804228.html?mod=WSJ_hpp_sections_business

[defendandprotect]

1. Swiss bank accounts are a threat to all of us -- to democracy . . . .

It's simply a way to protect criminal activity --

[JDPriestly]

2. You are so correct, defendandprotect.

[naaman fletcher]

4. A few things..

Let the swiss do what they want, we can respond by not letting their banks do business here.

As to bank secrecy being totally about helping criminal behavior, I agree 90%, however I know some wealthy Eastern Europeans who hide money their because in a local bank word can get out and your kids are then a kidnap risk.

[defendandprotect]

11. Nothing is ever wholly positive nor wholly negative . . ..

but the history of the Swiss accounts -- and it was the Swiss, evidently, who

sought the practice of stamping Jewish passports with a "J" -- and the campaign

to funnel the wealth of Jews pre-WWII into Swiss banks and American banks --

is a lot of activity which added up to betrayal of human rights.

From what I've heard, the American banks have still not been entirely exposed in this scam.


And, certainly, many of our elected officials have to be involved in protecting and profiting

from the Drug War and the money has to be kept somewhere.

[comtec]

3. is anyone actually surprised?

Seriously?
It's the SWISS!
They have hidden money and secrets for centuries!
Did anyone think they;d let a silly think like modern times get in the way of that record?

[harmonicon]

5. to be the minority voice for a moment...

If this is what Switzerland wants, good for them. They have an open democracy and have no reason to kowtow to US demands. I would like for tax-cheats to be caught, but I can also understand the importance of protecting privacy. Some things are legal in some countries that are illegal in others. If every country could make such demands of turning over private information for their own legal purposes, we start heading quickly towards lowest-common-denominator laws for everyone.

[rpannier]

6. They are doing business in America

Part of the requirement to do that business is to keep open books to prevent tax cheats

They are in violation of US banking laws.

The government should freeze all accounts within US that do business with UBS
Seize all UBS records within the US
Then prosecute both criminal and civil

Then place an international freeze and seize on all UBS holdings

[harmonicon]

7. that's fine with me

I think our government could/should treat UBS any way that it wants, but I can't fault the Swiss government for refusing to turn over private records, no matter what they pertain to.

[Lasher]

8. I won't fault the Swiss if they don't whine when they can't have it both ways.

If they don't mind being cut off from the international financial services market, then I say go for it.

[AngryAmish]

13. If I have a legit account with UBS my money should be seized?

Why?

[rpannier]

15. If you are using UBS to hide money and avoid taxes then yes you should

[Dover]

9. I agree to the extent that U.S. law should never have allowed this to begin with.

Or what 'laws' there are. Our banks are openly and 'legally' setting up offshore accounts and tax havens. How can that be? Why hasn't this practice been stopped and prosecuted? With all that taxable income leaving the country (billion$) it's the working class that is left to carry the tax burden.
And then, unbelievably, the working class is also bailing out the banks!


More about this legalized shell game here:

http://www.democraticunderground.com/discuss/duboard.php?az=show_topic&forum=114&topic_id=46457

[onehandle]

10. That's Switzerland. Neutral = Isolationist. nt

[Octafish]

12. Victory for the BFEE

Ex-Sen. Phil Gramm, the Meyer Lansky of the War Party, Set-Up the Biggest Bank Heist Ever.

[mbperrin]

14. Honest politicians there - they STAY bought!

Now shut down all UBS operations in the US, completely.

Can we finally strip Phil Gramm of his US citizenship while we're at it, PLEASE?