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WSJ Notes IRS Has Begun to Transmit Your Data to Foreign Countries

The Wall Street Journal recently noted information sharing between the IRS and foreign countries has begun, and the IRS is receiving information from hundreds of financial institutions and sovereign nations around the world.  In return, the IRS is sending information on accounts held in the US by foreign nationals to more than 34 nations currently, a number that is rapidly expanding as additional countries install appropriate technology and software.

The International Information Sharing Has Begun

If you are a part of the majority of US taxpayers who has yet to come into compliance with the IRS and Foreign Bank Account Report or FBAR filings, your window of opportunity to avoid draconian penalties and criminal tax evasion prosecution is rapidly closing.

There are already more than 50 insitutions on the IRS’ list of foreign banks and entities that have admitted to helping US taxpayers to avoid paying taxes.  If you had an account at any of these institutions you will be exposed to a penalty of 50% of the highest balance each year for a look-back period of 8 years.

The IRS has offered two programs for US taxpayers to voluntarily come into compliance with the reporting of offshore assets and income: Offshore Voluntary Disclosure Program or OVDP, and the Streamlined Programs (Domestic and Foreign).  The choice between these programs comes down to the willful or non-willful attempt (in the eyes of the IRS) to hide or underreport offshore bank accounts, investments and assets.

If you have offshore bank accounts, investments or other assets that have exceeded $10,000 at any point in the past 8 years and have not filed under the IRS OVDP or Streamlined programs we invite you to contact us for a free and substantive consultation immediately at 866-631-3470.  Each passing week the IRS adds more banks to the list increasing the penalties most US taxpayers will be forced to pay for offshore accounts.  Protect yourself, and come clean with the IRS before the IRS comes looking for you.