{"id":1117,"date":"2014-10-19T20:51:00","date_gmt":"2014-10-20T01:51:00","guid":{"rendered":"http:\/\/www.patellawoffices.com\/blog\/?p=1117"},"modified":"2014-10-19T20:51:00","modified_gmt":"2014-10-20T01:51:00","slug":"irs-releases-faqs-for-the-delinquent-international-information-return-submission-procedures-2","status":"publish","type":"post","link":"https:\/\/patellawoffices.com\/blog\/planning-for-tax-minimization\/irs-releases-faqs-for-the-delinquent-international-information-return-submission-procedures-2\/","title":{"rendered":"IRS Releases FAQs for the Delinquent International Information Return Submission Procedures"},"content":{"rendered":"<p>The IRS recently released frequently asked questions for the Delinquent International Information Return Submission Procedures (available\u00a0<a href=\"http:\/\/www.irs.gov\/Individuals\/International-Taxpayers\/Delinquent-International-Information-Return-Submission-Procedures-Frequently-Asked-Questions-and-Answers\">here<\/a>).<\/p>\n<p>The IRS now states that these procedures are available to taxpayers even if they have unreported income. See below quote:<\/p>\n<p><em>The Delinquent International Information Return Submission Procedures clarify how taxpayers may file delinquent international information returns in cases where there was reasonable cause for the delinquency. <strong>Taxpayers who have unreported income or unpaid tax are not precluded from filing delinquent international information returns<\/strong>. (emphasis added) Unlike the procedures described in OVDP FAQ 18, penalties may be imposed under the Delinquent International Information Return Submission Procedures if the Service does not accept the explanation of reasonable cause. The longstanding authorities regarding what constitutes reasonable cause continue to apply, and existing procedures concerning establishing reasonable cause, including requirements to provide a statement of facts made under the penalties of perjury, continue to apply. See, for example, Treas. Reg. \u00a7 1.6038-2(k)(3), Treas. Reg. \u00a7 1.6038A-4(b), and Treas. Reg. \u00a7 301.6679-1(a)(3).<\/em><\/p>\n<p>In comparison,\u00a02012 FAQ 18: (reads in part as follows):<\/p>\n<p><em>\u201cThe IRS will not impose a penalty for the failure to file the delinquent Forms 5471 and 3520<\/em><br \/>\n<em>if there are no under-reported tax liabilities and you have not previously been contacted<\/em><br \/>\n<em>regarding an income tax examination or a request for delinquent returns.\u201d<\/em><\/p>\n<p>The above FAQ 18 assurances are not contained under the New Procedures for Delinquent\u00a0Offshore International Returns. It is now more important than ever that a carefully drafted persuasive demonstration of reasonable cause\u00a0be included with a taxpayer&#8217;s submission\u00a0to avoid imposition of penalties.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The IRS recently released frequently asked questions for the Delinquent International Information Return Submission Procedures (available\u00a0here). The IRS now states that these procedures are available to taxpayers even if they have unreported income. See below quote: The Delinquent International Information Return Submission Procedures clarify how taxpayers may file delinquent international information returns in cases where [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_daextam_enable_autolinks":"","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[1],"tags":[91,92,64,63,68,25,27],"class_list":["post-1117","post","type-post","status-publish","format-standard","hentry","category-planning-for-tax-minimization","tag-91","tag-92","tag-opt-out","tag-ovdi","tag-ovdp","tag-penalties-and-interest","tag-voluntary-disclosure"],"_links":{"self":[{"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/posts\/1117","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/comments?post=1117"}],"version-history":[{"count":0,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/posts\/1117\/revisions"}],"wp:attachment":[{"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/media?parent=1117"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/categories?post=1117"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/tags?post=1117"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}