The European Commission has responded to the unintended effects of the US Foreign Account Tax Compliance Act (FATCA) with a policy of “institutional forbearance”, says Professor Carlo Garbarino of Bocconi University in Milan, in a study commissioned by the Committee on Petitions (PETI) and published at the end of September.
FATCA applies to the vast majority of legal and actual European residents with US citizenship or dual citizenship as well as ‘accidental Americans’, who were born...