Editors Note: The information in this post was accurate when written. The law and IRS amnesty programs have now changed. If you have unreported foreign accounts, the civil and potential criminal penalties are huge. You need a good CPA with offshore reporting experience. (We no longer do this work but can refer you.)If you are facing possible criminal prosecution, contact a criminal tax lawyer.
The IRS Whistleblower Program information in this post remains very relevant. If you have information about taxpayers with unreported foreign accounts or foreign income, you may be entitled to a reward. That is what we do!
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As expected, the IRS has announced a second amnesty program for taxpayers with undisclosed foreign accounts. While having a bank or brokerage account in a foreign country is not illegal, failing to tell Uncle Sam about the account or intentionally failing to pay taxes on offshore interest or dividends is a crime.
Unlike the first offshore amnesty that took place in 2009, this one is tougher. The IRS can collect more in penalties and look back at more years. Why the tougher rules?
The IRS wants to reward people who came forward early and came into compliance. Taxpayers who procrastinated won’t quite get the same savings.
Even though the rules are tougher, the amnesty is still a good deal for those with tax compliance problems. Taking part in the amnesty means tax, interest and some penalties need to be paid but there is a break in the penalties and you avoid prison.
Although this amnesty is limited to taxpayers with hidden overseas assets, anyone can take advantage of the IRS’ first contact policy and avoid jail.
To encourage voluntary compliance with the Internal Revenue Code, the IRS has adopted a no prosecution, no prison policy for taxpayers who approach the IRS first with a problem. If the IRS audits you or the guys and girls with guns come to your door first (IRS Criminal Investigations Division), all bets are off. Even if you immediately pay your taxes or file any missing returns, the IRS looks at who made the first contact.
If you are seriously delinquent in returns, payments or know that there are serious mistakes on an already filed return, seek the assistance of a tax attorney. A knowledgeable lawyer can insure that your rights are protected and insure the first contact policy is initiated by you and properly documented.
IRS Whistleblower Program
Despite dozens off posts on offshore reporting, hundreds of thousands of Americans and other payers with U.S. reporting obligations won’t accurately report their offshore accounts or income. Under the IRS Whistleblower Program, people with inside knowledge of tex fraud involving unreported income, unreported foreign accounts, unpaid taxes or false returns are eligible for cash rewards.
Our IRS whistleblower lawyers help folks collect the maximum reward possible. We never charge a fee for our services unless we are successful. If you don’t get a reward, we don’t get paid.
Reporting tax cheats helps keep the tax system fair. Although no one likes paying taxes, when someone fails to pay their fair share of tax the rest of us have to make it up.
Mahany Law is a full service law firm that helps whistleblowers report tax fraud and collect cash whistleblower rewards from the IRS. We accept cases worldwide. For more information, visit our IRS whistleblower page. Ready to see if you qualify for a reward? Contact attorney Brian Mahany online, by email or by phone at 202-800-9791. All inquiries kept strictly confidential.