During the launch party of the Jeddah branch of the U.S. Financial Advisory and Audit Firm (USFAAF), the company's senior vice president addressed the issue of submitting tax return documentation by the appropriate date.
USFAAF Senior Vice President Jim O'Neill said all Emiratis and GCC nationals having dual citizenship in the U.S. need to submit necessary tax return information by the required due date to avoid legal action and punishment.
“We opened branches of FATCA (Fair and Accurate Credit Transactions Act) in Dubai, Jeddah, Riyadh and Cairo to support those who born in the States by giving them free of charge consultancies to help them correcting their tax positions,” O'Neill said.
O'Neill talked about USFAAF’s efforts in resolving the growing challenge of the Saudi nationals who also hold a U.S. passport in relation to tax payment and documentation being submitted within the time required by law. He also made attendees aware that the company branches in Dubai, Cairo, Riyadh and Jeddah would help the Arab nationals complete all required paperwork to avoid being punished by the U.S. government.
O'Neill also highlighted the importance of FACTA, in addition to the offices authorized and registered by the Internal Revenue Service (IRS), in assisting Arabs and Egyptians from U.S. punishments including large fines and possible jail time.
USFAAF FACTA Director Chelsea Rebeck, Middle East Managing Director Ahmed Abu Nar and Middle East Executive Director Osama Eldahshoury also attended the Jeddah branch launch party.
“Those who hold the American passport or the Green card and living in GCC countries, they have to abide by FACTA law to avoid the fines and imprisonment,” Rebeck said.
Rebeck said that any Emarati or Arab born in the United States is considered an American by law, regardless if he has an American passport or not, and is required to complete and submit all tax return information by the U.S. imposed deadline.
“Over 7 million have the American passport living outside the U.S., most of them have bank accounts,” Rebeck said. “They should settle their tax situation.”
Those who do not submit tax information could face penalties, Eldahshoury said.
“The doors are open to submit the tax return from mid-January till the end of June 2016, and those who will not submit will be punished severely by paying $250,000 and imprisonment for five years,” Eldahshoury said. “USFAAF offices in Riyadh, Jeddah, Dubai and Cairo give consultancies free of charge and let the customers know their rights and obligations to avoid the severe punishment and lose the American passport.”
In addition, banks may also be held liable if they refuse to cooperate by not submitting bank statements for every customer holding an American passport.
“FATCA law states that everyone has the American passport or the Green card can invest in any part of the world as long as he submits the tax return in due time,” Abu Nar said. “Our four offices offer many other services such as filing tax return and FBAR (foreign bank accounts form), information about FATCA programs for missing previous years and issuing Social Security numbers.”
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