FATCA, the Foreign Account Tax Compliance Act was recently enacted by the Obama Administration. The act requires all those living in foreign countries to file U.S. tax returns and detailed annual foreign account disclosure statements, going back to 2003. This has created a dilemma for Americans living in Canada, most of them unaware of the law.
To complicate the issue, foreign banks would be forced to disclose all accounts held by U.S. citizens and impose a 30% tax. Banks would be subject to heavy penalties. Read More Here