Banks declining millionaires’ business as new rule deadline approaches

Filed under: AM Roundup |

Banks like HSBC and Deutsche Bank have turned away business from American wealthy clients as implementation for a new rule that cracks down on wealthy Americans hiding money from Uncle Sam in overseas accounts, reports Bloomberg.

The Foreign Account Tax Compliance Act, or FATCA, will be implemented in January of 2013. The new law requires foreign banks to gather information on American clients and their accounts. Banks say it will add compliance costs to their business, and some foreign bankers are calling the rule “draconian.”

Read more at Bloomberg.