TaxConnections


 

Archive for Tax Fraud/Evasion/Crimes

Lessons For U.S. Taxpayers Hiding Assets Offshore

Ron Marini

Argentine soccer superstar Lionel Messi was sentinced to 21 months in jail after he was found guilty of tax fraud for using offshore companies to avoid paying Spanish taxes on advertising contracts. Read more

Corporate Executive Must Face Criminal Charges

Ron Marini

A software and hospitality executive accused of not withholding federal taxes must face criminal charges after the U.S. Supreme Court refused Monday to consider his challenge of a Sixth Circuit decision holding that those charges are not precluded by a civil suit court order forcing him to work without pay.

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California Businessman Sentenced For Hiding $23.5 MM Offshore!

Ron Marini

A Californian businessman was sentenced to 24 months in prison today for hiding more than $23.5 million in offshore bank accounts and evading more than $8.3 Million in Federal Taxes over seven years.

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IRS Investigators Raid Caterpillar Over Swiss Profits

Ron Marini

Caterpillar Inc., an American manufacturing icon, used a wholly owned Swiss affiliate to shift $8 billion in profits from the United States to Switzerland to take advantage of a special 4 to 6% corporate tax rate it negotiated with the Swiss government and defer or avoid paying $2.4 billion in U.S. taxes to date, a new report from Sen. Carl Levin, the chairman of the U.S. Senate Permanent Subcommittee on Investigations shows.

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FinCEN Extends Tracking Secret Buyers Of Luxury Real Estate

Ron Marini

In 2016, I discussed in an article the Financial Crimes Enforcement Network (FinCEN) issuing a Geographic Targeting Orders (GTO) that will temporarily require certain U.S. title insurance companies to identify the natural persons behind companies used to pay “all cash” for high-end residential real estate in the Borough of Manhattan in New York City, New York, and Miami-Dade County, Florida.

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IRS Committed To Stopping Offshore Tax Cheating

Ron Marini

The Internal Revenue Service today said avoiding taxes by hiding money or assets in unreported offshore accounts remains on its 2017 list of tax scams known as the “Dirty Dozen.”

Since the first Offshore Voluntary Disclosure Program (OVDP) opened in 2009, there have been more than 55,800 disclosures and the IRS has collected more than $9.9 billion from this initiative alone.In addition, another 48,000 taxpayers have made use of separate streamlined procedures to correct prior non-willful omissions and meet their federal tax obligations, paying approximately $450 million in taxes, interest and penalties.

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Money Laundering Evaluation Of The United States

William Byrnes

The United States has a well-developed and robust anti-money laundering and counter-terrorist financing (AML/CFT) regime through which it is effectively investigating and prosecuting money laundering and terrorist financing. However, the system has serious gaps that impede timely access to beneficial ownership information.

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Some Good News Taxpayers Can Be Thankful For This Holiday Season

Barry Fowler

Over the past several years, taxpayers—and I mean all taxpayers, from the lowest socio-economic level to the highest—have been victimized or at least contacted by scam artists posing as IRS agents.

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IRS Wins Summons Challenge From Virtual Currency Exchanger Coinbase Inc.

Ron Marini

A California federal court Thursday authorized a John Doe summons by the IRS to obtain information from virtual currency exchanger Coinbase Inc. so it can investigate whether the company’s customers avoided paying taxes on transactions made through the company.

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Tax Authorities To Have Access to Beneficial Ownership Information By 2018!

The EU Council recently agreed on a proposal granting access for tax authorities to information held by authorities responsible for the prevention of money laundering. The directive will require EU member states to enable access to information on the beneficial ownership of companies. The effective date will apply from January 1, 2018.

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Interlinked System Of Beneficial Ownership Registers Coming Soon – Fighting Against Tax Crimes

William Byrnes

The European Commission expects to have in place by next year an interconnected, pan-European system of beneficial ownership registers, as part of the fight against money laundering and tax evasion, the European Commissioner, Věra Jourová, tells MEPs of the Inquiry committee into the Panama Papers scandal.

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False Form 8854 Used As Part Of “Willful” FBAR Prosecution

The primary story is of a U.S. professor who pleaded guilty to an FBAR violation and was subjected to a 100 million FBAR penalty. Notably the “tax loss” was 10 million dollars and the FBAR penalty was 100 million dollars. It appears that Mr. FBAR is becoming an important tool in the arsenal used by the United States Treasury.

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