IRS Broadens the Scope and Gets Tougher on Failing to Report Overseas Accounts
- Wednesday, July 2, 2014
Contact: Saul Brenner; Berdon LLP (New York, New York, USA)
The IRS has extended and streamlined the process for taxpayers who unintentionally failed to report and pay tax on overseas income. At the same time, it will be taking a deeper financial bite out of those who willfully avoided the income reporting laws.
The Service has modified compliance procedures offered in 2012 to those who come forward of their own accord under the Offshore Voluntary Disclosure Program. Those using the Streamlined Domestic Offshore Procedures or the Streamlined Foreign Offshore Procedures must certify that their failure to report the income, pay the tax, and submit required returns was not done willfully.