What is the US equivalent of the Common Reporting Standard?

The US equivalent of the Common Reporting Standard is the Foreign Account Tax Compliance Act (FATCA). FATCA was enacted in 2010 to combat tax evasion by US persons holding accounts and other financial assets outside the United States. It requires foreign financial institutions to report information about financial accounts held by US persons to the Internal Revenue Service (IRS).

FATCA aligns with the principles of the Common Reporting Standard, which is a global framework developed by the OECD for the automatic exchange of financial account information between governments. By implementing FATCA, the US has established a system to ensure that foreign banks provide information to the IRS, aiding in transparency and enforcement of US tax laws for expatriates and those with foreign investments.

This act directly addresses similar goals of the Common Reporting Standard, ensuring that both domestic and foreign income is reported accurately to maintain compliance with US tax regulations. Other options listed do not fulfill the same function or implications regarding cross-border financial reporting as FATCA does.