With the US Foreign Account Tax Compliance Act, FATCA, which forms part of the US HIRE Act under US law, the US legislator obligates foreign financial institutions to surrender extensive information on earnings received in foreign accounts held by US persons. This law is designed to close various loopholes that currently allow tax evasion. It focuses on individuals and companies with tax liability in the USA (referred to therein as "specified US persons") who hold assets invested outside the USA.

FATCA is an essential requirement of the market, which no financial institution, be it a bank, insurance company or investment company, etc., can effectively circumvent.