FATCA, or the Foreign Account Tax Compliance Act, is a U.S. law enacted in 2010 aimed at combating tax evasion by U.S. taxpayers holding accounts and other financial assets outside the United States. The act requires foreign financial institutions to report information about financial accounts held by U.S. persons to the Internal Revenue Service (IRS), ensuring compliance with U.S. tax obligations. This law highlights the growing importance of international cooperation in tax matters and reflects a broader trend toward increased transparency in global finance.
congrats on reading the definition of FATCA. now let's actually learn it.