IRS Offshore Program Set to End

1. IRS Offshore Program Set to End The IRS has had programs dating back to 2009 for taxpayers that have failed to report offshore financial accounts and other assets, including interests in foreign trusts and foreign corporations. The IRS started their offshore amnesty program with the 2009 Offshore Voluntary Disclosure Initiative (“OVDI”), which eventually came to a close. The program did so well that they then restarted the program in 2011, then again in 2014 naming it the Offshore Voluntary Disclosure Program (“OVDP). The most recent program has been open ended with variations in penalties and its submission requirements. However, on March 13, 2018, the IRS has announced that effective September 28, 2018, the Offshore Voluntary Disclosure Program will no longer be an available option for taxpayers. That means that any taxpayers that have been putting off submitting a voluntary disclosure or should do so immediately. After September 28, 2018, the IRS will no longer accept submissions. are undecided The suspicion is that the IRS perhaps has sufficient information to identify any non-compliant taxpayers on its own and thus there is no longer a benefit of granting any type of amnesty or reduced pre-determined penalty. Essentially, the IRS will find these people on its own and have a wider range of penalty potential. Taxpayers can continue to take advantage of the Streamlined Filing Procedures, but this is only recommended for taxpayers who had no knowledge of their filing requirement. Essentially, the failure to comply with the reporting and filing requirements was non-willful. As each day passes, and attention is given to this matter, it is presumed that makes arguing that a taxpayer had no knowledge of the foreign account filing requirement more difficult. If you have a desire to participate in the OVDP or Streamlined Filing Procedures, please contact Victory Tax Lawyers, LLP at 866-640-0640.