Californians who have previously not reported assets and accounts they had secreted in Swiss institutions will be required to file amended Foreign Bank Account Reports, or FBARs with the IRS. The deadline for this is June 30, so there are only a few weeks to work through the changes that have arisen out of the recent agreements between the IRS and Swiss banking, credit and investment houses. Many Californians believed the Swiss would be a safe haven for the rest of their lives, never believing that they would cave in to pressure applied by the US government and the IRS. Recent developments have been a shock to many of these investors, and they are searching for answers as well as guidance on what steps to take next.
One of the first steps will be to go back and amend previous FBARs for the past 8 years (the statutory period of limitations afforded to the IRS). The IRS has information about Swiss bank and investment accounts, so it will be important to more completely disclose account information via the FBAR. This will have an impact on prior year’s tax returns as well as potential liabilities going forward. Contact Allen Barron at 866-641-3470 to schedule a consultation to discuss the protections of attorney-client privilege on these matters, as well as expert guidance on the tax and financial implications you presently face.