Archive for September, 2015

IRS seeking information about US taxpayers’ accounts in Belize

Wednesday, September 23rd, 2015

A federal court in Miami authorized the Internal Revenue Service to serve a “John Doe” summons seeking information about those US taxpayers who may hold offshore accounts at Belize Bank International Limited(BBIL) or Belize Bank Limited (BBL). The court order permits to seek records of the banks’ correspondent accounts at Bank of America and Citibank, to identify the holders of interest in financial accounts of the Belizean banks, as well as other institutions that used the same correspondent accounts.

US taxpayers are required by Federal tax law to pay taxes on all income earned worldwide. US taxpayers must also report foreign financial accounts if the total value of the accounts exceeds $10,000 at any time during the calendar year, otherwise they can be liable to a fine of up to 50 percent of the amount in the account at the time of the violation.

Belize Bank is the first and largest bank in Belize, with 44% market share in loans and 38% in deposits. According to the IRS declaration, Belize Bank Limited is the direct owner of Belize Bank International Limited. It also states that Belize Corporate Services (BCS) is incorporated and based in Belize and offers corporate services including the purchase of “shelf” Belizean International Business Companies. BBL, BBIL and BCS are corporate subsidiaries of BCB Holdings Limited.