The IRS, in news release IR 2016-137, highlighted the accomplishments of its Offshore Voluntary Disclosure Program (OVDP) and encouraged taxpayers with undisclosed offshore accounts to come into compliance with the federal tax obligations. The OVDP and streamlined compliance programs have been used to bring over 100,000 taxpayers into compliance and have brought in over $10 billion in taxes, interest, and penalties.
Tag Archive for Undisclosed Offshore Accounts
Other Civil Penalties Lying In Wait For The Unwary Taxpayer With Undisclosed Offshore Assets
With all of the focus on FBAR penalties when it comes to foreign asset reporting, it’s easy to overlook the others, some of which can be just as onerous as the FBAR penalty itself. What other pestilent civil penalties are lying in wait for the unwary taxpayer who decides not to participate in one of the IRS’s voluntary disclosure programs and is subsequently audited?
I. Failure to File a Tax Return Penalty
The civil penalty applicable for failure to timely file returns is section 6651(a)(1). This Read more