IRS Says Offshore Voluntary Disclosures Bring in More Than $5 Billion
The IRS announced on June 26, 2012, that its offshore voluntary disclosure programs have exceeded the $5 billion mark. “We continue to make strong progress in our international compliance efforts that help ensure honest taxpayers are not footing the bill for those hiding assets offshore,” said IRS Commissioner Doug Shulman. “People are finding it tougher and tougher to keep their assets hidden in offshore accounts.”
Shulman said the IRS offshore voluntary disclosure programs have so far resulted in the collection of more than $5 billion in back taxes, interest and penalties from 33,000 voluntary disclosures made under the first two programs. In addition, another 1,500 disclosures have been made under the new program announced in January.
For non-compliant U.S. taxpayers, it is important to understand that the IRS placed a major focus on international tax compliance. The voluntary disclosure programs form a part of a wider effort by the IRS to stop offshore tax evasion and ensure tax compliance. Other aspects of this push toward international compliance by the IRS include beefed up enforcement, criminal prosecution and implementation of third-party reporting through the Foreign Account Tax Compliance Act (FATCA). The new Form 8938, with its penalty structure, is a more profound and wider IRS equivalent of the famous FBAR form issued by the Department of the Treasury.
Contact Sherayzen Law Office for Legal Help With Voluntary Disclosure
If you have undisclosed foreign accounts and foreign income, contact Sherayzen Law Office immediately for legal help. Our experienced international tax firm will walk you through the process, analyze the facts of your case, provide you with voluntary disclosure options, and offer rigorous IRS representation.