The disclosure of the Panama Papers promises to cause global unrest as exemplified by the recent protests in Iceland. As more and more leaders are tied to illicit offshore bank accounts, continued unrest is sure to follow. FATCA, the Foreign Account Tax Compliance Act, at first appeared to be a time-consuming nuisance for banks is now proving to be a potent weapon of democratic society.

FATCA was implemented to target non-compliant United States taxpayers by forcing banks around the world to report bank balances of U.S. taxpayers to the United States government. U.S. taxpayers of every type must come forward and not only declare foreign accounts but also pay undeclared tax. It forces all U.S. taxpayers to play by the same rules. A true democracy cannot be had unless monetary rules are leveled for all involved.

The reportable bank balances are those of United States taxpayers, but not of foreign nationals who have no duty to report under United States laws. As a result, many of those identified in the Panama Papers were unlikely reportable taxpayers pursuant to FATCA. Consequently, countries throughout the world would find it prudent to contemplate adopting a FATCA-like disclosure model to maintain peace, disrupt political corruption, and level the monetary playing field.