Taxpayers with offshore bank accounts need to be very careful to comply with all applicable IRS reporting requirements. A failure to properly disclosure your foreign accounts can lead to FBAR penalties, FATCA penalties, and even potential criminal prosecution. Make...
Month: August 2019
Delinquent FBAR Filing Options in 2019
You have three main options for filing delinquent FBARs in 2019. You should talk to a tax attorney to determine which choice best fits your circumstances and will protect you from civil or even criminal tax penalties. Offshore Disclosure Procedures The old Offshore...
Can You Get a Passport If You Owe the IRS Money?
You may not be able to get a passport or renew your existing passport if you owe the IRS money. However, the IRS only goes after a taxpayer’s passport when there is a significant amount owed and certain other procedures have been followed. Whether your passport is at...
What to Do If You Receive an IRS Passport Letter
The IRS passport letter—formally known as a CP508C Notice—is telling you that your passport is at risk due to your tax debt problems. If you don’t take action, the State Department may deny your next passport renewal or even remove or put limitations on your current...
Welcome To Our Blog
We established this blog to share stories and information about topics relevant to our practice. Our intent is to regularly provide posts highlighting legal issues of local, state and national interest that we think you will find interesting. Check back later for...
Disclosing a Failure to Report Offshore Income
If you have unreported foreign income in addition to unreported foreign account information returns (FBARs, etc.), it will limit your offshore disclosure options. You will need to amend your tax returns along with submitting any delinquent information returns and pay...
Is The IRS Still Enforcing FBAR Compliance?
Despite the ending of the Offshore Voluntary Disclosure Program (OVDP), the IRS continues to enforce the reporting requirements for offshore accounts. Foreign Bank Account Reports (FBAR) and other information returns must be filed, or taxpayers may face stiff...
What is Cancellation of Debt Income?
Cancellation of debt income is the “gain” you receive when a debt you are responsible for is forgiven. The amount you don’t have to pay back may be considered cancellation of debt income, which could be taxable income in some cases. Form 1099-C You may receive a Form...
Common IRS Civil Tax Penalties
Many IRS tax penalties are assessed automatically if you fail to submit payment or file a tax return on time. These penalties may also continue to accrue each month until you pay your taxes or file your return. The following are some of the most common IRS civil tax...
Tax Lien Release Vs. Tax Lien Withdrawal
Federal tax liens are a public record that informs your other creditors of your IRS tax debt. The lien can impact your ability to sell your home, refinance, or get a home equity loan. There are several ways around a tax lien, including getting it released, withdrawn,...