Anti-Money Laundering Pros Should be on Alert for Signs of Foreign Tax Evasion

By Matt Squire

Although tax evasion cannot trigger money laundering charges under U.S. law, anti-money laundering professionals at financial institutions need to watch for signs that their customers may be evading foreign taxes, which in some cases can result in a domestic money laundering case, say legal experts. The list of specified unlawful activities (SUAs), that can subject someone to money laundering charges in the United States is lengthy, ranging from aircraft piracy to wire fraud. Absent from the list is federal tax evasion, a felony punishable by up to five years in prison and $100,000 in fines. Money laundering is a felony...