Thursday, February 27, 2014


(h/t Atrios)
It's been almost 9 years since Buffett made that statement and it's still true, especially when it comes to the legal system.
Credit Suisse helped wealthy Americans cheat the IRS, Senate report says
By Danielle Douglas, Published: February 25

Swiss banking giant Credit ­Suisse helped wealthy Americans hide billions of dollars from U.S. tax collectors for several years and federal prosecutors have done little to hold violators accountable, according to a U.S. Senate subcommittee report due out Wednesday.

Lawmakers have accused the bank of helping wealthy Americans avoid paying taxes on as much as $12 billion in assets held at the institution. Prosecutors have been aware of the misconduct at Credit Suisse for at least four years, in which time they have indicted seven bankers and launched a probe of the institution, according to the report. But no one has stood trial, and the bank has not been held legally accountable, the report says.

The situation at Credit Suisse changed in 2008 when UBS came clean about its role in aiding U.S. tax evasion, which led the bank to disclose thousands of accounts as part of a $780 million settlement with Justice. Credit Suisse embarked on a five-year process of closing the Swiss accounts of Americans who refused to disclose them to U.S. authorities. About 18,900 wealthy Americans closed the accounts rather than pay taxes, according to the subcommittee.

More than 43,000 taxpayers have voluntarily told the IRS about their hidden offshore accounts and paid the government more than $6 billion in back taxes, interest and penalties.

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