Face it. There is no escape and you banks are so unpopular now that any hope you had at generating sympathy is gone gone gone. We want to know your customers. We want to know when you knew them. We want to know how you met them. We want to know who they know that you know. Brace yourself. This might be a bit uncomfortable.

The U.S. Internal Revenue Service (IRS) is preparing to pursue other foreign banks for allegedly facilitating tax evasion by wealthy Americans following its high-profile case against Switzerland’s UBS, an IRS official said on Monday.
UBS, Switzerland’s largest bank, in February acknowledged that it helped U.S. clients conceal assets from the U.S. government. It agreed to pay a $780 million fine and identify some of its American clients.

Meanwhile, don’t think we don’t see you, UBS, over there in the corner trying to get the United States to just drop the whole thing and let you gently set your clients adrift before Switzerland signs a new tax treaty with the United States to address the problem going forward (i.e. after you’ve moved the biggest clients to offshore subsidiary asset managers).
IRS says set to pursue “other banks” on tax evasion [Reuters]

Comments (21)

  1. Posted by guest | April 27, 2009 at 4:32 PM

    UBS Sucks. Props to my fans!

  2. Posted by guest | April 27, 2009 at 4:48 PM

    We are the Knights of the IRS who say “PAY”…we want…a Shrubbery

  3. Posted by Anal_yst | April 27, 2009 at 5:02 PM

    Considering how poorly the IRS is “incentivizing” so-called “tax-dodgers” to come-clean, I’d say their efforts at attacking the banks themselves will likely not accomplish much, as you’ve alluded.
    Yes, paying back-taxes going 6 years and a what, 50% penalty on the highest account value is really going to convince wealthy Americans with offshore accounts to step-up. Har har.

  4. Posted by guest | April 27, 2009 at 5:10 PM

    “Blackadder II” Chains (1986)
    The Best Spanish inquisition ever …
    http://www.imdb.com/title/tt0526717/quotes

  5. Posted by guest | April 27, 2009 at 5:24 PM

    They should incentivize these taxpayers by liberally applying criminal penalties. Make an example out of a few and then put pressure on the banks. Ensure that those who come forward are treated with discretion.

  6. Posted by guest | April 27, 2009 at 5:26 PM

    The Swiss just don’t get it. You can’t import a culture of secrecy and do business by it on U.S. soil. When it’s pointed out that this is criminal on this side of the pond, they exclaim righteously: “Leave the poor Swiss alone!”

  7. Posted by guest | April 27, 2009 at 5:33 PM

    Like HSBC ?

  8. Posted by guest | April 27, 2009 at 5:34 PM

    Its rarely noted that the Caymans are more transparent than the Swiss. The real shady dealings (meaning the largest of the shady dealings) go down in Switzerland, not the Caymans. Admittedly, the Bahamas, BVIs and Bermuda are pretty shady.

  9. Posted by guest | April 27, 2009 at 5:36 PM

    Why didn’t Hitler devour Switzerland during WWII? Was it more useful to him as a neutral state than as additional territory? It was an interesting “island” on the 1941 map of Nazi controlled Europe for sure.

  10. Posted by guest | April 27, 2009 at 5:37 PM

    Where is the list?
    52,000 sleazy tax evaders, or 52,000 potential new clients?

  11. Posted by guest | April 27, 2009 at 5:38 PM

    Lists are for closers!

  12. Posted by guest | April 27, 2009 at 5:44 PM

    9 Def more useful. Esp as an economic window to the outside world. Remember all that gold that got looted and then deposited in Switz? Good conduit for getting funds to Argentina, another neutral country.

  13. Posted by guest | April 27, 2009 at 5:59 PM

    IBD layoffs happened today… 5 to 10% per group

  14. Posted by guest | April 27, 2009 at 6:28 PM

    In this country, tax avoidance is considered legal; tax evasion is not. Anyone who has performed the latter is fair game for investigation and potential punishment, if they are found guilty. Any bank who is suspected of aiding and abetting tax evasion is also subject to investigation and sanction.
    Note that the IRS acts, in most instances, as judge, jury, and executioner. Good luck beating that rap.
    Oh, and if capturing and fining a few hundred (thousand?) rich tax cheats will help reduce my tax bill in the future, I say have at them. Duplicitous fucks.

  15. Posted by guest | April 27, 2009 at 6:59 PM

    CREDIT SUISSE Houston is the new killing it.
    Suck on my prestige, bitches!

  16. Posted by guest | April 27, 2009 at 7:08 PM

    Ok, let’s have them release the information – but can we please have the names of all accounts held by U.S. politicans first?

  17. Posted by guest | April 27, 2009 at 7:57 PM

    Cardinal Fang! Fetch… the Comfy Chair!

  18. Posted by guest | April 27, 2009 at 8:03 PM

    equities in dallas is the new killing it

  19. Posted by guest | April 27, 2009 at 8:42 PM

    LOBSTERWAGON

  20. Posted by guest | April 28, 2009 at 6:30 AM

    #9 asked: “Why didn’t Hitler devour Switzerland … Was it more useful … as a neutral state …?”
    The Swiss never ask where the money comes from. This makes them complicitous, not neutral. They’re addicted to cash and co-dependent with dishonest people who have boatloads of it.
    Hitler probably left them alone because they were more useful as unwitting (?) collaborators and conspirators. Hope the IRS puts them out of business while scaring the shit out of the other tax cheats.

  21. Posted by NAS Keflavik boi | April 28, 2009 at 8:49 AM

    @ 9 and 20 –
    Although the Swiss would have you believe that their mountain redoubts and universal military training is what kept the Nazis at bay, the truth is that they were too valuable to the Reich as the world’s best “fence”. All that looted artwork and those melted gold teeth couldn’t exactly get liquidated in Berlin…

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