I am acting for a client who would like to put in place Lasting Powers of Attorney. However, her only child is about to become a US citizen and her child is concerned that if she becomes her mother’s attorney, FATCA will apply as she will have potential control over her mother’s investments. She is also worried that the IRS will want to tax her on the value of her mother’s assets.
As such, she is hesitant about taking on the role if FATCA will make it onerous.
There are no other family members on hand who can act and we are probably looking at an appointment of professional attorneys if it is onerous for daughter to act due to FATCA.
This is not something I have come up against or advised on in terms of LPAs – does anyone have experience of this or know where I can point my client’s daughter re her worries concerning becoming her mother’s attorney and her possible obligations under FATCA?