{"id":3927,"date":"2021-05-26T16:40:00","date_gmt":"2021-05-26T16:40:00","guid":{"rendered":"https:\/\/patellawoffices.com\/blog\/?p=3927"},"modified":"2021-05-24T16:41:50","modified_gmt":"2021-05-24T16:41:50","slug":"penalties-for-not-filing-form-3520","status":"publish","type":"post","link":"https:\/\/patellawoffices.com\/blog\/planning-for-tax-minimization\/penalties-for-not-filing-form-3520\/","title":{"rendered":"Penalties for Not Filing Form 3520"},"content":{"rendered":"\n<p>The IRS requires a U.S. person receiving a gift from a foreign individual, corporation, partnership, or estate to report by filing Part IV <a href=\"https:\/\/late3520.com\/form-3520-basics\/\">Form 3520<\/a>. Failure to file or late, incorrect, or incomplete filing is subject to a severe penalty. A penalty of 5% of the amount of the gift for each month not reported is given. The penalty does not exceed a total of 25% of the gift. A penalty is not imposed if the taxpayer shows reasonable cause for failure to report. <\/p>\n\n\n\n<p>When\nreceiving a penalty for failure to file Form 3520, Notice CP 15 or CP 215 is\nsent to the taxpayer notifying the taxpayer which requires a timely response.\nIf the taxpayer wishes to appeal the penalty, they should submit a written\nrequest to appeal within 30 days from the date of the notice explaining the\nreasonable cause for failure to report. This appeal should include all relevant\nfacts and documents supporting the taxpayer\u2019s position.<\/p>\n\n\n\n<p>If no\naction is taken, the taxpayer will receive one of three letters: Letter 1058,\nNotice of Intent of Your Right to a Hearing; LT11, Final Notice of Intent to\nLevy and Notice of Your Right to a Hearing; or Letter 3172, Notice of Federal\nTax Lien and Your Rights to a Hearing under IRC 6320.<\/p>\n\n\n\n<p>Taxpayers\nwho have incurred penalties for failure to file Form 3520 or <a href=\"https:\/\/late3520.com\/\">late Form 3520<\/a> should contact Patel Law\nOffices. Over the years, our office has successfully represented numerous\ntaxpayers with protests of Form 3520 penalties.<\/p>\n\n\n\n<p>Patel Law\nOffices offers a free strategy session to discuss how to resolve your foreign\nasset problem. Conveniently schedule online today by&nbsp;<a href=\"https:\/\/docs.google.com\/forms\/d\/1kmKvVaBKjk1jItilZnu3xHZG1vE2iM12T-eeI7wfpSA\/viewform?gxids=7628&amp;edit_requested=true\">completing\nour questionnaire and online scheduler<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The IRS requires a U.S. person receiving a gift from a foreign individual, corporation, partnership, or estate to report by filing Part IV Form 3520. Failure to file or late, incorrect, or incomplete filing is subject to a severe penalty. A penalty of 5% of the amount of the gift for each month not reported [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","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":[],"class_list":["post-3927","post","type-post","status-publish","format-standard","hentry","category-planning-for-tax-minimization"],"_links":{"self":[{"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/posts\/3927","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=3927"}],"version-history":[{"count":1,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/posts\/3927\/revisions"}],"predecessor-version":[{"id":3928,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/posts\/3927\/revisions\/3928"}],"wp:attachment":[{"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/media?parent=3927"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/categories?post=3927"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/patellawoffices.com\/blog\/wp-json\/wp\/v2\/tags?post=3927"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}