Contact Information:

Center for
Freedom and Prosperity
 P.O. Box 10882
Alexandria, Virginia
22310-9998
202-285-0244

United States House of Representatives

[PDF Version]

December 8, 2003

The Honorable John Snow
Secretary of the Treasury
Department of Treasury
1500 Pennsylvania Avenue, NW
Washington, DC 20220

Dear Secretary Snow,

We are writing to express our concerns about a proposed IRS regulation (REG-133254-02) that would force U.S. banks to report the deposit interest they pay to nonresident aliens. The regulation is not needed to enforce our tax laws, but it would impose high costs. Our banking system has attracted more than $1.75 trillion from overseas. This money is very important to job creation, and helps finance home mortgages, auto loans, and small business expansion. Nonresident alien bank accounts are only a slice of that total, to be sure, but any loss of capital is going to undermine the economy's performance.

We also are concerned that the IRS is overstepping its proper role. For more than 80 years, Congress has sought to attract capital to our financial system by not taxing nonresident alien bank deposit interest and not requiring the reporting of this income. The IRS certainly has the right to propose changes in tax policy, but the agency should not use its rulemaking power to overturn existing law.

We ask that this regulation be permanently withdrawn and look forward to your response.

Sincerely,

Philip M. Crane
Member of Congress

Mark Foley
Member of Congress

Wally Herger
Member of Congress

Jim Ramstad
Member of Congress

Jennifer Dunn
Member of Congress

Mac Collins
Member of Congress

Phil English
Member of Congress

Ron Lewis
Member of Congress
 

Return Home

[Home] [Issues] [Tax Competition] [European Union] [IRS NRA Reg] [Corporate Inversions] [QI] [UN Tax Grab] [CF&P Publications] [Press Releases] [E-Mail Updates] [Strategic Memos] [CF&P Foundation] [Foundation Studies] [Coalition for Tax Comp.] [Sign Up for Free Update] [CF&P At-A-Glance] [Contact CF&P] [Grassroots] [Get Involved] [Useful Links] [Search] [Contribute to CF&P]