Tax Relief News: Consumers Need to Act Now to Take Advantage of Expiring IRS Amnesty Program For Offshore Accounts
Attention all consumers with undisclosed offshore bank accounts: now is the time to act if you want to reduce your IRS penalties!
Due to the highly successful voluntary disclosure program last year, the IRS re-launched their offshore bank account amnesty program for 2011, due to expire in August.
I’m taking this opportunity while we still have some time to urge consumers with undisclosed foreign bank accounts to hurry and take advantage of this opportunity while it lasts.
As we speak now, you have a little under three months to step forward, file, and pay what is owed. But the deal this year is not quite as good as the original. You would have to pay 25 percent of the foreign account assets, up from 20 percent in 2009, plus any back taxes, interest, and penalties going back to 2003.
Whatever the price may be, if you decide not to step forward and the IRS finds you—that could mean penalties up to 200% to 300% of what you owe, if not jail time.
For the ones who can show that they were unaware of the foreign account reporting requirements involved with the Foreign Bank and Financial Accounts (FBAR) regulations, or had little contact with the account, particularly if the account held less than $75,000, the penalty drops to 12.5 percent or lower.
According to the President of TRS, Brian Compton, one of the nation’s leading offshore tax evasion defense experts, due to the severity of the penalties and criminal implications, it is not in the account holder’s best interest to wait for the IRS to approach them. But coming forward without professional representation is not a good idea. Offshore account holders must be prepared to follow rigid procedures to ensure they get favorable treatment from the IRS. Failure to do so can result in more penalties.
“There are a lot of nuances when it comes to negotiating with the IRS,” says Brian Compton, “If you have years of unpaid back taxes on your foreign bank account, it’s definitely better to have a well-qualified offshore tax defense expert on your team; especially since oftentimes consumers inadvertently get themselves in more trouble by saying things they weren’t supposed to say.”
Tax Resolution Services, Co. ® has a leading offshore tax evasion defense team. Visit www.TaxResolution.com or call 888-699-7630 to see how we can help you.
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