Business Briefs: Foreign banks to share tax info

Business Briefs: Foreign banks to share tax info

June 3rd, 2014 by Staff Reports and Wire Service in Business Around the Region

Foreign banks to share tax info

It will soon get a lot harder to use overseas accounts to hide income and assets from the U.S. tax collectors.

More than 77,000 foreign banks, investment funds and other financial institutions have agreed to share information about U.S. account holders with the Internal Revenue Service as part of a crackdown on offshore tax evasion, the Treasury Department announced Monday.

The list includes 515 Russian financial institutions. Russian banks had to apply directly to the IRS because the U.S. broke off negotiations with the Russian government over an information-sharing agreement because of Russia's actions in Ukraine.

Stocks finish at record high

The Dow Jones Industrials and the S&P 500 both closed Monday at record highs again after the Institute for Supply Managment said U.S. manufacturing was revised to show extra strength last month.

The Dow Jones Industrials rose 26.46 points to close at 16,743.63 and the S&P 500 edged up 1.40 points to 1,924.97. The Nasdaq dropped slightly, however.

"It's hard to move the market higher, considering we are fairly fully valued at this point," hedge fund manager Rick Meckler of LibertyView Capital Management told Reuters. The revised manufacturing report helped buoy investors confidence in greater economic growth this year.