offshore – Page 3 – Tax, Estate Planning & Probate Law Center

Swiss Government and US Government Announce New Program for Cooperation and Disclosure by Swiss Banks

12 Sep 13

In August 2013, the Swiss Federal Government and the DOJ announced a first of its kind program (the New Program) that will enable eligible Swiss banks to address and resolve their status with regard to the DOJ’s ongoing enforcement investigations. The

Offshore Voluntary Disclosure Initiative/Program (OVDI/OVDP) opt-out results and updates

12 Sep 13

Many of our clients are carefully considering OVDI opt-outs. The opt out option became first available during the 2011 OVDI program, and continues with the current OVDP program. The 2012 OVDP program continues the procedures announced in 2011 regarding decisions to “opt

Foreign Account Tax Compliance Act (FATCA) online registration program is launched

26 Aug 13

The Internal Revenue Service on Monday launched an online registration program for the hundreds of thousands of financial firms around the world that must comply with a U.S. anti-tax evasion law or risk being shut out of financial markets. Starting

IRS Offshore Voluntary Disclosure Programs Continue to Burden “Benign Actors” and Damage IRS Credibility

23 Jul 13

The Taxpayer advocate has issued a new mid-year 2013 report. The portion that relates to the IRS’s OVDI/P initiatives is posted below (footnotes and tables omitted). The IRS offered a series of offshore voluntary disclosure (OVD) programs to settle with

FBAR Deadline is June 28, 2013

12 Jun 13

This month we remind taxpayers of the upcoming June 30, 2013 deadline for filing Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR), to report financial interests in, or signature authority over, foreign financial accounts. There is

Finally: IRS Reminds Those with Foreign Assets of U.S. Tax Obligations

29 May 13

The IRS has finally decided that educating taxpayers and tax advisors of tax obligations of foreign assets and income would be helpful and encourage compliance. The recent education announcements appear to address the IRS’ alleged shortcomings in educating taxpayers with

HSBC Bank Expects Significant Penalties from US Government for Violations

18 May 13

Global bank HSBC has said it may face “significant” penalties from the US authorities with regard to an ongoing probe into suspected tax evasion by the US-based clients of its Indian unit, among other cases. The US tax department is

Finally. Government Accountability Office makes recommendations to the IRS for tax laws education to immigrants

15 May 13

In latest report from a government watchdog agency called the Government Accountability Office (GAO) the GAO makes recommendations to the IRS, and the IRS pays attention. Those recommendations could put some taxpayers in trouble, but some are beneficial. Particularly helpful tax laws education commentary

Government Report Advises IRS to Increase Awareness of Offshore Account Rules to Help Immigrants

30 Apr 13

The Internal Revenue Service’s four amnesty programs for those who have undeclared offshore accounts have resulted in more than 39,000 disclosures by taxpayers and more than $5.5 billion in revenues as of December 2012. A report Friday by the Government

Silent Disclosure: The Qualified Amended Return (QAR)

13 Apr 13

Can I Disclose Issues to the IRS After the Tax Return Is Filed? This question is very important for our clients exploring silently disclosing previously unreported income on an amended income tax return. The general rule is that taxpayers are

Opting Out of the Offshore Voluntary Compliance Initiative Programs

21 Feb 13

As with other IRS’ 2009 and 2011 offshore voluntary compliance initiatives, the 2012 program gives no discretion to the IRS agents to reduce penalties. If a participant does not believe that he or she should have to pay the 27½%

HSBC Payment of Largest Penalty and FATCA Encourages Taxpayers to Disclose

30 Jan 13

Last month, HSBC Holdings agreed to pay $1.92 billion in fines to U.S. authorities, which is the largest collective settlement in the Treasury Department’s history. The penalty assessment was based upon HSBC’s conduct in violation of the Bank Secrecy Act

New Comments of the IRS’ New Streamlined Filing Compliance Procedures for Non-Resident Non-Filer U.S. Taxpayers

22 Dec 12

I just returned from the American Bar Association Section of Taxation’s annual National Institute on Criminal Tax Fraud in Las Vegas. A topic of discussion was the relatively new New Streamlined Filing Compliance Procedures for Non-Resident, Non-Filer U.S. Taxpayers (see

Benefits and consequences of entering or failing to enter the Offshore Voluntary Disclosure Initiative program

29 Nov 12

Over the past several years our law firm has counseled hundreds of non-compliant U.S. taxpayers in the exploration of their legal options with respect to the Offshore Voluntary Disclosure Initiative programs. As a result, we have succinctly summarized some of

IRS Notices for OVDI Program

12 Oct 12

When the IRS receives payment with amended tax returns for taxes, interest and penalties, the IRS may misapply the payment. This results in IRS notices. Reminiscent of the mistakes of the 2009 OVDP, the IRS now appears to be applying

Foreign Account Tax Compliance Act (FATCA): More Information Sharing Agreements Expected

27 Sep 12

FATCA was enacted in 2010 by Congress to target non-compliance by U.S. taxpayers using foreign accounts. FATCA requires foreign financial institutions (FFIs) to report to the IRS information about financial accounts held by U.S. taxpayers, or by foreign entities in

New EZPASS OVDP Without Any Penalties for Non-Resident U.S. Taxpayers

02 Sep 12

Yesterday, as expected, the IRS announced its new New Filing Compliance Procedures for Non-Resident U.S. Taxpayers that taxpayers presenting “low compliance risk” should file delinquent tax returns, including delinquent information returns, for the past three years; and delinquent FBARs for the past

The “Quiet” or “Silent” Disclosure

21 Aug 12

Our office consults with many clients in determining whether they need to enter into the 2012 IRS Offshore Voluntary Disclosure Program. Because of the high 27.5% penalty in the 2012 OVDP program, many of our clients are considering alternative options

IRS Publishes Useful Chart Outlining Compliance Options for Offshore Assets

18 Aug 12

The IRS has recently published a useful chart outlining options available to help US taxpayers with offshore interests. The new IRS chart correctly states that it “recognizes that its focus on offshore enforcement efforts and related disclosure programs has raised

To Opt Out or Not Opt Out: That is the Question

13 Aug 12

When is it appropriate to make a quiet disclosure vs. making a disclosure through the Offshore Voluntary Disclosure Program? This question is not necessarily easy to answer. IRS agents handling OVDI/OVDP cases do not have discretion regarding offshore-related information return

Explore the OVDI opt-out option: Argue for Penalty Mitigation

08 Aug 12

The revised IRS OVDP FAQs offer helpful guidance on the opt-out option. The newly revised FAQs illustrate the pros and cons of opting out with six examples. See FAQ 51. The examples describe situations in which it may be smart

Full Analysis of Updated 2012 OVDP Program

15 Jul 12

The Internal Revenue Service announced on June 26, 2012 (IR-2012-64) that it is tightening eligibility requirements for the open-ended offshore voluntary disclosure program (2012 OVDP) that it announced in January 2012 for taxpayers with unreported income or assets, generally in

OVDP Ineligibility Possibility Increases

27 Jun 12

Yesterday the IRS stated that taxpayers’ eligibility to participate in the OVDP could be terminated if the foreign institution where you have your account faces IRS action. Once the U.S. government has taken action against a financial institution, any U.S.

The legal standard of “willfulness”: Opt out to avoid high penalties

01 May 12

Under IRS Form 1040, at the bottom of Schedule B, Part III, on Page 2, Question 7(a) states: “at any time during the previous year, did you have any interest in or signatory or other authority over a financial account

Global Enforcement of FATCA: Something to Worry About

14 Apr 12

The Foreign Account Tax Compliance Act (FATCA) is about disclosure and transparency, but in part is to catch Americans trying to stash money overseas. Controversially, FATCA orders every foreign bank to track down its U.S. account holders, and then share

Difference between Form 8938 and FBAR Requirements

09 Apr 12

Comparison of Form 8938 and FBAR Requirements Many holders of foreign financial assets must file two disclosure forms this year or else risk draconian penalties. They are Form 8938, which is due with the tax return itself, and

More Tax Complexity: New Form 8938

07 Apr 12

In recent years, the IRS and US Treasury have stepped up their efforts toward tracking down delinquent tax payers and enforcing payment of overdue taxes. One of these initiatives has been labeled the “Foreign Account Tax Compliance Act”. FATCA is

Form 8938, FATCA, FBAR and penalties for all (including bankers)

05 Apr 12

The IRS and US Treasury have stepped up their efforts toward tracking down delinquent tax payers and enforcing payment of overdue taxes. One of these initiatives is the “Foreign Account Tax Compliance Act”. FATCA is part of the Hiring Incentives

Frequent Scenarios in Offshore Voluntary Disclosures

03 Apr 12

I have frequently seen the following scenarios in working with clients to determine whether a offshore voluntary disclosure program filing (OVDP) is appropriate and how they should report foreign account. First, a parent or grandparent entrusts a younger generation family

Eleven foreign financial institutions to share their US customer account information

25 Mar 12

US authorities have offered eleven financial institutions a settlement agreement in which the US government’s investigations in those financial institutions — for aiding tax evasion — and potential prosecution would be dropped. The eleven financial institutions are: 1. Credit Suisse

Tag Archives: offshore