The IRS and the U.S. Department of Justice are putting pressure on offshore financial institutions to report names of American account holders in an effort to bring back tax dollars into America. This program is targeting taxpayers who have failed to report foreign bank or financial accounts also known as FBAR. This effort has been stimulated by the “mega recession” we are experiencing. It has already begun in Zurich with Swiss Bank affiliated with UBS, one of Europe’s largest banks. Hearings are going on today, July 13, 2009. The Swiss government is attempting to uphold its banking secrecy laws, but has already turned over 300 client names to the Department of Justice. The Department of Justice in this case is seeking the identities of some 52,000 American account holders who have holdings at UBS/Swiss Bank. These account holders face criminal and civil tax evasion charges.
The IRS in an attempt to help ease the burden for these account holders to come forward voluntarily has offered a deal or a limited time amnesty program for offshore account holders. This period will end September 23, 2009. For the most part, the IRS will not bring criminal charges and will reduce the penalties for taxpayers who come forward voluntarily. For those who come forward voluntarily under this amnesty program, the IRS will only impose penalties ranging from 5%-20% rather than the much higher penalties of 50%-75% for those who do not enter this program. Taxpayers who wish to take advantage of this amnesty can contact DENNIS M. HAASE, ESQ. Mr. Haase, an experienced Tax Attorney and Certified Public Accountant, can handle your case with the IRS and file the necessary documentation to facilitate receiving the benefits of this amnesty, which requires the filing of amended tax returns for the past six years.
The IRS will continue to pursue others who have offshore accounts, outside of Switzerland, and this situation will get worse. Moving accounts from one offshore account to another could ultimately result in greater criminal implications with the IRS.
Please contact DENNIS M. HAASE, Esq. at Phone: 973.744.0073 or email.