by Fresh Start Tax | Aug 30, 2012 | FBAR, Tax Lawyer
Are you are US citizen living in Panama and need FBAR tax help and tax relief call us today and speak directly to a FBAR Tax Attorneys, Tax Lawyers, CPAs or Former IRS Agents.
Whether you have a Civil or Criminal Problem we can help you so stop the worry today.
1-866-700-1040. Panama, SKYPE available.
Because of the volume of US citizens living in Panama, the IRS will have a very active presence working the area of Panama and foreign tax compliance.
FBAR has resulted in the US government receiving over $5 billion in the inaugural years and the IRS intends to find fortunes of unreported income.
If you are in full compliance you have nothing to worry about whatsoever.
However if there are tax returns and FBAR reports outstanding, it would be in your best interest to contact a tax representative and find your way into full compliance with the IRS.
If you beat IRS to the punch by contacting them, the chance of criminal elements are virtual gone the majority of time. We can give you more info simply by calling us.
Bank Secrecy Act
The United States Congress passed the Bank Secrecy Act in 1970 as the first laws to fight money laundering in the United States.
The BSA requires businesses to keep records and file reports that are determined to have a high degree of usefulness in criminal, tax, and regulatory matters.
The documents filed by businesses under the BSA requirements are heavily used by law all major enforcement agencies, both domestic and international to identify, detect and deter money laundering whether it is in furtherance of a criminal enterprise, terrorism, tax evasion or other unlawful activity. This information is now share with many government agencies.
The IRS has there eyes set not only on terrorism and criminal drug activity but now have the resources to work and manage tax evasion.
The Internal Revenue Service is a partner in the U.S. National Money Laundering Strategy. This is a very power team of law enforcement agencies.
The IRS seeks to achieve a balance between enforcement of the money laundering laws and education.So far the IRS has done a very poor job regarding the education because the do it u r selvers are ages behind tax professionals.
New Reporting Requirements by U.S. Taxpayers Holding Foreign Financial Assets (Form 8938)
Taxpayers that have specified foreign financial assets that exceed certain thresholds must report those assets to the IRS on Form 8938, Statement of Specified Foreign Financial Assets.
The new Form 8938 filing requirement does not replace or otherwise affect a taxpayers requirement to file FBAR. A chart providing a comparison of Form 8938 and FBAR requirements, and other information to help taxpayers determine if they are required to file Form 8938.
Call us today for more details. 1-866-700-1040
Hear the truth and stop your worry.
by Fresh Start Tax | Aug 29, 2012 | FBAR, Tax Help, Tax Lawyer
FBAR is the new beast of the Internal Revenue Service.
This reporting form has been a wake up call those taxpayers and persons required to file FBAR reports. It is critical to those needing to file back tax returns to get to work and make sure you have full tax representation before engaging the Internal Revenue Service.
Call us today to hear more about filing and amending FBAR and back tax returns. 1-866-700-1040. Speak to tax attorneys, tax lawyers and former IRS Agents. We are your FBAR tax experts and resource center for FBAR Help.
Information about FBAR
What is the FBAR?
The FBAR is not a tax return.
FBAR is a report filed with the IRS stating that the person filing has a financial interest in, or signatory authority over, financial accounts in a foreign country with an aggregate value exceeding $10,000 at any time during the taxable year, remember that is a aggregate value.
As part of the FBAR reporting requirement, persons or individuals are instructed to indicate on their Form 1040, Schedule B, Part III whether the individual has an interest in a financial account in a foreign country by checking “Yes or “No” in the appropriate box.
The Schedule B will then direct the taxpayer ( individuals ) to the FBAR, which is used to report a financial interest in or authority over bank accounts in a foreign country.Call us if you are not sure about the foreign country application.
The deadline for filing an FBAR for each calendar year is on or before June 30th the following year, no later dates are given.
The FBAR is not attached to the taxpayer’s individual income tax return.
It is therefore not subject to the stringent disclosure restrictions of Internal Revenue Code and the information contained in the FBAR can be shared with other Federal, State and government agencies, other local agencies and authorities.
The instructions to the FBAR explain how tax compliance with the federal statute is accomplished and sets forth the details and the required information and those person(s) obligated to comply with the FBAR reporting requirements as prescribed under the code.
How to amend your FBAR.
Taxpayers or individuals who have previously filed a FBAR form can amend a previously filed FBAR by doing the following:
1. Checking the Amended box in the upper right-hand corner of the first page of the form,
2. Making the needed additions or corrections,
3. Stapling it to a copy of the original FBAR,
4. Attaching a statement explaining the additions or corrections.
Call us today to speak directly to tax attorneys, tax lawyers and former IRS agents who are tax experts in FBAR and all other IRS matters.
Call at 1-866-700-1040. Free tax consults.
by Fresh Start Tax | Aug 28, 2012 | FBAR, IRS Penalties, Tax Lawyer
FBAR Penalties – Tax Attorneys, Lawyers, Former IRS – FBAR Expert – Removing FBAR Penalties
Call us for help resolving your FBAR tax problems and issues.
Former IRS Agents know how to resolve cases. Free tax consult. 1-866-700-1040
For those who were suppose to report and pay taxes as a result of FBAR filings, the penalties phase that IRS imposing is frightening and very costly.
It is possible if reasonable cause exists to abate penalties and interest.
You should contact our office and speak directly to a tax attorney, tax lawyer or former IRS agent to discuss the details of your case for the removal of FBAR penalties.
FBAR Penalties Explained
IRS has a very specific FBAR Penalty Structure
A civil money penalty may be imposed by the IRS for an FBAR violation even if a criminal penalty is imposed for the same violation. Yes, this is double the trouble. This can be found under 31 U.S.C. § 5321(d).
Negligence Penalties for FBAR
There are two negligence penalties which apply generally to all BSA provisions
1. A negligence penalty up to $500 may be assessed against a business for any negligent violation of the BSA, including FBAR violations.
2. An additional penalty up to $50,000 may be assessed for a pattern of negligent violations.
As a general rule these two negligence penalties only apply to trades or businesses, not to individuals.
The FBAR penalties under section 5321(a)(5) and the FBAR warning letter, Letter 3800, should be adequate to address most FBAR violations that are identified. The FBAR warning letter may be issued in the cases where the revenue agent determines none of the 5321(a)(5) FBAR penalties are warranted.Each case is based on its own unique set of facts and can significantly vary due to IRS swings in policy changes.
If the revenue agent ( RA) believes, however, that assertion of a section 5321(a)(6) negligence penalty is warranted in a particular case, the revenue agent should contact a Bank Secrecy Act Program Analyst for guidance.As a general rule, these apply to high dollar cases where the negligence appears more warranted.
Negligence that applies to FBAR.
Actual knowledge of the reporting requirement is not required to find negligence.
If a financial institution or non-financial trade or business exercising ordinary business care and prudence for its particular type of business should have known about the FBAR filing and record keeping requirements, failure to file or maintain records is negligent. Remember, reasonable cause for penalty abatement’s can be tested.
If the failure to file the FBAR or to keep records is due to reasonable cause, and not due to the negligence of the person who had the obligation to file or keep records, the negligence penalty should not be asserted. This is where you need a seasoned tax professional to help you with a situation just like this.
Negligent failure to file does not exist when, despite the exercise of ordinary business care and prudence, the business was unable to file the FBAR or keep the required records.
IRS will use general negligence principles in determining whether or not to apply the negligence penalty.
Although this IRS tax regulation does not apply to FBARs, the information it contains may still be helpful in determining whether the FBAR violation was due to reasonable cause and not due to negligence.
Remember the facts and circumstances differ on each case and no two cases are the same.
Call us if you have questions or need tax representation.1-866-700-1040
by Fresh Start Tax | Aug 27, 2012 | FBAR, Tax Lawyer
With the advent of FBAR and the voluntary disclosure policies many taxpayers are on the cusp of a potential tax crime.
Much thought goes into the IRS pursuit of tax criminals. Obviously the IRS cannot pursue everyone so they pick and chose they victims carefully.
Much of the thought that goes into these cases will depend on the size of the case, the amount of tax owed, the willfulness of the intent, aspects of the deception and the possibility of conviction of the case and lastly, what is in the best interest of the U.S. government.
The Conviction rate is well in the favor of the U.S. government. As a general rule, they get there person historically about 90% of the time.
Each case is based on its own set of facts.
What is Voluntary Disclosure Practice of the IRS
It is currently the practice of the IRS that a voluntary disclosure will be considered along with all other factors in the investigation in determining whether criminal prosecution will be recommended.
Internal Practice of IRS
This voluntary disclosure practice creates no substantive or procedural rights for taxpayers, but rather is a matter of internal IRS practice, provided solely for guidance to IRS personnel.
Does not Guarantee Immunity
A voluntary disclosure will not automatically guarantee immunity from prosecution however a voluntary disclosure may result in prosecution not being recommended.
This practice does not apply to taxpayers with illegal source income.
When does Voluntary Disclosure Occur
A voluntary disclosure occurs when the communication is truthful, timely, complete, and when:
1. the taxpayer shows a willingness to cooperate (and does in fact cooperate) with the IRS in determining his or her correct tax liability; and
2. the taxpayer makes good faith arrangements with the IRS to pay in full, the tax, interest, and any penalties determined by the IRS to be applicable.
3. A disclosure is timely if it is received before:
4.. the IRS has initiated a civil examination or criminal investigation of the taxpayer, or has notified the taxpayer that it intends to commence such an examination or investigation;
5. the IRS has received information from a third party alerting the IRS to the specific taxpayer’s noncompliance;
6. the IRS has initiated a civil examination or criminal investigation which is directly related to the specific liability of the taxpayer; or
7. the IRS has acquired information directly related to the specific liability of the taxpayer from a criminal enforcement action (e.g., search warrant, grand jury subpoena).
If you have any questions whether a crime has been committed, call us today.
If you are having any issues and would like to speak directly to a tax attorney call us today for a no cost professional consult.
IRS Investigations!!!
Totals
Investigations Initiated
2502
Prosecution Recommendations
1765
Information/Indictments
1567
Total Convictions
1270
Total Sentenced*
1269
Percent to Prison
81.2%
Average Months to Serve
44
*Sentence includes confinement to federal prison, halfway house, home detention, or some combination thereof.
by Fresh Start Tax | Aug 27, 2012 | FBAR, Tax Lawyer
With FBAR becoming the latest trend in IRS enforcement many taxpayers were not even aware of FBAR Filing or Due Dates requirements. The IRS is making FBAR a major project because it is yielding Billions of dollars into the Fed Revenue.
It is first important to know who is responsible to file a FBAR Report.
FBAR responsibility.
Any United States person who has a financial interest in or signature authority or other authority over any financial account in a foreign country, if the aggregate value of these accounts exceeds $10,000 at any time during the calendar year.
It is important to understand that the IRS is currently running matching programs with overseas financial institutions tracing the signatures to US persons to Foreign bank accounts.
Do not forget or ignore the deadline-June 30 FBAR due date.
Form TD F 90-22.1 is a reporting document, not a tax form. That means there is no timely delivered provision. You can’t just have the envelope postmarked by June 30. The Treasury expects to have your Form TD F 90-22.1 in hand on June 30.
The FBAR must be received by the Department of the Treasury on or before June 30th of the year immediately following the calendar year being reported. The June 30th filing date may not be extended.
The IRS has just received $500 million in additional Congressional money and a sizable portion of those funds will be dedicated to running unreported FBAR filers down.
If you are in compliance, absolutely no need to worry.
If you are not sure whether you need to file the FBAR report or just want to have questions answered call us today for a no cost professional tax consult.
You can speak directly to a tax attorney or lawyer. 1-866-700-1040.
All consultations are free.
Remember, if you are in compliance you will never have anything to fear.
by Fresh Start Tax | Aug 25, 2012 | FBAR, Tax Lawyer, Tax Returns
FBAR filings are the hot topic around IRS.
The reason is simple, after 3 years the IRS collected a whopping $5.5 Billion from FBAR reporting and filing of tax returns, what a staggering number.
Our guess, that number will triple as prosecutions rise. Without question you will see many more taxpayers with criminal cases due to the upgrading of the CADE2 computer system of the IRS and the current exchange program going on between the US and foreign financial institution. ( all thanks to UBS )
There are generally two type of clients that retain our firm.
99% of most of our clients were simply unaware of the FBAR requirements. Filing and getting them back into the system is relatively simple. There are that 1% that need criminal representation.
For those of you who want to file FBAR your self, please click on or paste the link below
.www.irs.gov/pub/irs-pdf/f90221.pdf
Should you need help from well qualified and experienced Attorneys and Lawyers call us today for a no cost professional consultation. All calls are confidential. 1-866-700-1040.
General Information about FBAR
If you have a financial interest in and or have signature authority over a foreign financial account, including a bank account, brokerage account, mutual fund, trust, or any other type of foreign financial account, the US Bank Secrecy Act may require you to report the account yearly to the Internal Revenue Service by filing Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR). See form above, PDF.
The FBAR is required because foreign financial institutions may not be subject to the same reporting requirements as domestic financial institutions.
The FBAR is a tool to help the United States government identify persons who may be using foreign financial accounts to evade or defeat United States laws.
You can File FBAR on a New E-Filing Option
Finally, there is now an online filing option for FBAR that require only one signature.
The online form and instructions provide for a more immediate means by which to ensure that the FBAR is received by the June 30 deadline. Since only one signature can be submitted on the electronic form, the e-filing process IS NOT an option for joint filers.
For filers of FBAR not using the e-filing option, the FBAR filings are sent to:
U.S. Department of Treasury,
P.O. Box 32621,
Detroit, MI, 48232-0621.
Commercial delivery is:
IRS Enterprise Computing Center,
Attn: CTR Operations Mail room, 4th Floor,
985 Michigan Avenue, Detroit, MI, 48226,
