by Fresh Start Tax | Jul 4, 2012 | Back Taxes, Expatriate Tax, FBAR, IRS Tax Advice, Tax Lawyer, Tax Returns
At Last, a tax reprieve on foreign income reporting and filing your back tax returns, well maybe.
American that live abroad will get a reprieve from the IRS this year on reporting on foreign assets.
The IRS said it will allow some United States citizens, including dual citizens, who have not filed income tax returns or not disclosed their foreign bank accounts, to come forward without facing onerous penalties or the threat of prosecution.
This is what the IRS calls a tax amnesty of sorts.
The Internal Revenue Service said the reprieve, to begin Sept. 1, would also apply to U.S. expatriates with foreign retirement plans, including Canadian ones.
But read the fine print on this one! ( Only low risk compliance taxpayers are invited to this party )
The optional procedure just announced is available only to Americans who owe little or no back taxes, not to those who have squirreled away substantial amounts in secret offshore accounts that they have knowingly failed to disclose to the IRS.
This announcement is for small type of taxpayers.
If you are not sure what categorize you fall in you may want to call us for a no cost professional tax consultation. 1-866-700-1040.
The IRS statement said the new guidelines were for “low compliance risk” taxpayers, generally people who have simple returns and owe $1,500 or less in tax for any covered years. Yes, this is for the low end of taxpayers.
IRS is about to pound this area of non-compliance due to the very fact that the Offshore Program over the past years has brought in a kings ransom to the IRS, a whooping $4 Billion Large. IRS will not stop.
It also follows complaints by tax lawyers that many U.S. expatriates have been unaware of the new rules on tax returns and disclosure of foreign bank accounts.
IRS feels that many of these taxpayers were not willful tax evaders, but simply uninformed about filing returns and, if needed, disclosures known as Foreign Bank and Financial Account Reports, or FBARs.
Many taxpayers were just plain ignorant of the tax laws and the IRS does not intend to hurt this type of taxpayer.
The IRS said that under the new procedures, taxpayers would have to file delinquent tax returns for the past three years and delinquent FBARs for the past six years.
The IRS said “higher compliance risk” taxpayers would be subject to a more thorough review and, potentially, an audit or a referral to CI or Criminal Division Review.
The IRS also said taxpayers would be barred from the disclosure program if they challenged in foreign courts the disclosure of their accounts while failing to inform the U.S. Justice Department of such challenges.
You can expect the IRS to being a full court press from now on, they plan for bleed this Offshore Program for as much as it can.
As a result of the Obama-Care Program the IRS will be given $500 million for budgetary purposes.
You better attorney up if need be. If you are in full compliance no need to worry.
Call us for a free tax consult for tax advice.
We are staffed with Tax Attorneys, Tax Lawyers, CPA’s and Former IRS agents. 1-866-700-1040
by Fresh Start Tax | Jul 3, 2012 | Expatriate Tax, FBAR, Representation, Tax Lawyer, Tax News, Tax Returns
We are Ex- Pat and FBAR tax specialists. We are tax experts. As Former IRS agents we taught Tax Law at the IRS.
We have successful handled a great deal of both Ex- Pat and FBAR cases.
You can call today for a no cost professional confidential consultation.
We are comprised of Board Certified Tax Attorneys, Lawyers, CPA’s and Former IRS Agents.
We have over 205 years of professional tax experience and over 60 years of direct work experience with the IRS. We worked in the local, district and regional offices of the Internal Revenue Service.
Do you need to file a tax return for the IRS?
Under the new health care plan IRS is coming. The current tax appropriations under the new law is about to let the IRS loose.
Among the various new requirements of the IRS that are contained in IRC 877 and 877A, individuals that renounced their U.S. citizenship or terminated their long-term resident status for tax purposes after June 3, 2004 are required to certify to the IRS that they have satisfied all federal tax requirements for the 5 years prior to expatriation.
If all your federal tax requirements have not been satisfied for the 5 years prior to expatriation, even if the individual does not meet the monetary thresholds in IRC 877 or 877A, the individual taxpayer will be subject to the IRC 877 and 877A expatriation tax provisions.
Individual(s) that have expatriated should file all tax returns that are due, regardless of whether or not full payment can be made with the return.
Depending on an individual’s circumstances, a taxpayer filing late may qualify for a payment plan.
All payment plans to the IRS require continued compliance with all filing and payment responsibilities after the plan is approved and throughout the course of the plan.
IRS imposes a $10,000 penalty may be imposed for failure to file Form 8854 when required.
IRS is sending notices to expatriates that have not complied with the Form 8854 requirements, including the imposition of the $10,000 penalty where appropriate.
IRS is acquiring lists through tax treaties with and through various countries.
Failure to file or not including all the information required by the form or including incorrect information will result in large penalties.
FBAR REQUIREMENTS
If you have a financial interest in or signature authority over a foreign financial account, including a bank account, brokerage account, mutual fund, trust, or other type of foreign financial account, the 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).
The FBAR is required because foreign financial institutions may not be subject to the same reporting requirements as domestic financial institutions. You should call us if you have questions.
Federal Tax Investigators with the IRS use FBARs to help identify or trace funds used for illicit purposes or to identify unreported income maintained or generated abroad.
It is important to know that the IRS is receiving $500 million dollars in funding under the new health care plan, yes, the new health care plan.
A lot of that budget will be at the expense of Ex-Pats and FBAR
We are EXPAT, FBAR Tax Specialists. Comprised of Tax Attorneys, Lawyers and Former IRS. We are affordable, experienced and will tell you the truth about your case.
by Fresh Start Tax | Jul 1, 2012 | Back Taxes, Income Tax Preparation, Representation, Tax Lawyer, Tax Returns
IRS Tax Representation for U.S. Citizens and Resident Aliens Living Abroad
We are “World Wide IRS Tax Experts comprised of Tax Attorneys, Former IRS Agents.
For United States Citizens and Resident Aliens Abroad
If you are a United States citizen or resident alien, the rules for filing income, estate, and gift tax returns and paying estimated tax are generally the same whether you are in the United States or abroad.
Did you know that your world wide income is taxable?
If you are a U.S. citizen or resident alien residing overseas, or are in the military on duty outside the U.S., on the regular due date of your return, you are allowed an automatic 2-month extension to file your return and pay any amount due without requesting an extension.
We also can file any and all back tax years and unfiled tax returns.
Extension Period.
For a calendar year return, the automatic 2-month extension is to June 15.
If you are unable to file your return by the automatic 2-month extension date, you can request an additional extension to October 15 by filing Form 4868 before the automatic 2-month extension date. However, any tax due payments made after June 15 will be subject to both interest charges and failure to pay penalties.
Where to File
If you are a U.S. citizen or resident alien (Green Card Holder) and you live in a foreign country, mail your U.S. tax return to:
Department of the Treasury
Internal Revenue Service Center
Austin, TX 73301-0215
USA
Estimated tax payments should be mailed with form 1040-ES to:
Internal Revenue Service
P.O. Box 1300
Charlotte, NC 28201-1300
USA
The Tax Law.
1. Taxpayers with an AGI (Adjusted Gross Income) of $57,000 or less can electronically file their tax return for free using free file.
2. Taxpayers with an AGI greater than $57,000 can either use the Free File Fillable Forms or e file by purchasing commercial software. A limited number of companies provide software that can accommodate foreign addresses. To determine which will work best for you, get help choosing a software provider.
If you are looking for a Professional Tax Firm and for IRS tax Representation call us today for a no cost consult.
Areas of Professional Tax Practice:
- Same Day IRS Tax Representation
- Offers in Compromise or IRS Tax Debt Settlements
- Immediate Release of IRS Bank Levies or IRS Wage Garnishments
- Tax Relief from a IRS Bill, Letter or Notice of “Intent to Levy”
- IRS Tax Audits
- IRS Hardships Cases or Unable to Pay
- Payment Plans, Installment Agreements, Structured agreements
- Abatement of Penalties and Interest
- State Sales Tax Cases
- Payroll / Trust Fund Penalty Cases / 6672
- Filing Late, Back, Unfiled Tax Returns
- Tax Return Reconstruction if Tax Records are lost or destroyed
- International Tax Practice
Our Company Resume: ( Since 1982 )
- Our staff has collectively over 205 years of Professional IRS Tax Representation Experience
- On staff, Board Certified Tax Attorney’s, IRS Tax Lawyers, Certified Public Accountants, Enrolled Agents,
- We taught Tax Law in the IRS Regional Training Center
- Former IRS Agents, Managers and Instructors with over 60 years experience in the local, district and regional IRS offices.
- Highest Rating by the Better Business Bureau “A”
- Fast, affordable, and economical
- Licensed and certified to practice in all 50 States
- Nationally Recognized Veteran /Published Former IRS Agent
- Nationally Recognized Published EZINE Tax Expert
- As heard on GRACE 90.3 FM Monthly Radio Show-Business Weekly
- International Tax Attorney/Lawyer
by Fresh Start Tax | Jun 29, 2012 | Back Taxes, Expatriate Tax, Income Tax Preparation, IRS Tax Debt, Offer in Compromise, Representation, Tax Lawyer, Tax Returns, Tax Settlements
ExPats IRS Tax Consultants – Income Tax Prep, File, Tax Settlements – Tax Attorneys, Former IRS 1-866-700-1040
We are a Professional Tax Firm specializing in World Wide Ex-Pat tax consultations, tax services, income tax preparation and IRS tax settlements.
We have been in practice since 1982 and are “A” rated by the BBB.
Skype available. Password freshstarttax.
We are staffed with Tax Attorneys, Tax Lawyers, CPA’s and Former IRS Agents
Expats and everyone living abroad including those with FBAR issues, BEWARE.
Under Obama Care the IRS will be given over $500 million large to enforce compliance and collections of IRS Tax Laws and much of the budget is to aggressively go after International money.
The IRS will be carefully watching Expats because of the non compliance from ExPats.
IRS has found that many Expats not in filing compliance. IRS plans to change this starting next year.
The IRS report is specially targeting international money and IRS is setting Agent Groups up specializing in ExPat stuff.
This is not to scare you but just stating fact. If you are in compliance you do not need to worry or read the rest.
If you are having tax issues or you are in non compliance with the IRS and need to chat, hit us up for a free tax consult. We specialize in Expat Tax.
We have worked countless numbers of these cases.
Since we have worked for the IRS we know all the tax strategies and procedures related to the tax filings and tax settlements to get you through worry free.
Penalties for not filing.
Significant penalty imposed for not filing expatriation form
Anyone who has expatriated or terminated his U.S. residency status must file Form 8854, Initial and Annual Expatriation Information Statement (PDF). Form 8854 must also be filed to comply with the annual information reporting requirements of Internal Revenue Code section 6039G, if the person is subject to tax under Section 877 of the Code.
A $10,000 penalty may be imposed for failure to file Form 8854 when required.
IRS is sending notices to expatriates that have not complied with the Form 8854 requirements, including the imposition of the $10,000 penalty where appropriate.
The Instructions for Form 8854 (PDF) provide details about the filing requirements, related definitions and line-by-line instructions for completing the form.
Failure to file or not including all the information required by the form or including incorrect information could lead to a large penalty and tax enforcement.
ExPats IRS Tax Consultants, Income Tax Prep, File, Tax Settlements, Offer in Compromise
We can help today. Call and speak directly to Tax Attorneys, Former IRS or CPA’s.
We are affordable, assessable and will tell your the truth. We can file all back tax returns with or without records through our tax reconstruction methods.
Expatriates IRS Tax Consultants – Income Tax Prep, File, Tax Settlements – Tax Attorneys, Former IRS
by Fresh Start Tax | Jun 28, 2012 | Abatements, FBAR, IRS Tax Problem, Tax Lawyer, Tax Returns, Tax Settlements, Uncategorized
With the aggressive position of the IRS on FBAR cases and the the new federal funding given to the IRS, the Service is going to ramp up a full force major attack on all FBAR cases.
The IRS has been training new Revenue Agents to have become ROBO-FBAR AGENTS to scare the taxpayers into submission and full tax compliance.
It has worked so far.
The commissioner of the IRS announced the IRS has collected over $5 Billion and much more is expected to come. Fear is a great motivator.
With this said, if currently you have professional tax needs in this area call us today for a free tax consult.
Speak directly with Board Certified Tax Attorneys, Tax Lawyers, CPAs and Former IRS Agents who are tax experts in the field of FBAR tax settlements, tax negotiations. We can answer all your questions with a no cost first consult.
What is new with FBAR
The standard penalty was recently increased from 25 percent to 27.5 percent.
In December 2011 the IRS issued FS-2011 that appeared to soften their attitude and provided that penalties will not be imposed in all cases. Check with us and see if you qualify for this.
Taxpayer (s) that remain out of compliance will likely eventually show up on the IRS radar screen. With IRS cutting more deals with countries and with new tax treaties being developed with new countries every day, FBAR will become a daily topic within the IRS because of the sheer volume of revenue it brings in.
New Revenue Agents Groups within the IRS have been formed with many Agents currently being trained simply to work these FBAR cases.
It should also be known these are highly skilled agents working these case.
If a taxpayer is notified the IRS is seeking FBAR info, it is vitally important they seek out legal representation.
Many times the IRS will play the criminal card.
On large dollar cases, Agents have the ability to make a criminal referrals to CI if the Agent feels that tax fraud is involved.
The IRS post lists on their website of all their current convictions.
Innocent Taxpayers with Compliance Problems
Many of our clients/taxpayers come from places all over the world.
Most do not face exposure to criminal tax issues.
Criminal tax problems typically involve intentional actions to hide the ownership of assets and income such as offshore trusts, pure and out right fraud and shell- type companies.
Most, about 95 % of our clients have simply failed to file FBARs, some have not filed tax returns for many years and these taxpayers do not owe any U.S. tax due to foreign tax credits as they pay higher rate foreign tax. Most are simply unaware or uninformed.
Reasonable cause and relief from penalties
There are a array of reasons the the IRS abates penalties and interest. There is a long list found on our website.
We usually go over the fact patterns of each individual case and develop a tax strategy for a successful abatement of penalties and interest.
On staff is a Former IRS Appeals Agent who over his 35 year career at IRS has probably worked more Abatement case than any I know.He exclusively works our abatement cases.
We handle all FBAR Cases, Tax Settlements, Negotiations. We can file all unfiled tax returns.
We are compromised of Tax Attorneys, Tax Lawyers, CPA’s and Former IRS Agents
We are true FBAR Tax Experts, call us today. 1-866-7001-040
Thank you.
by Fresh Start Tax | Jun 28, 2012 | FBAR, IRS Tax Debt, Representation, Tax Lawyer, Tax Returns, Tax Settlements
FBAR – Tax Lawyers – File and Settle – IRS Tax & FBAR Experts
Take the fear out of FBAR.
We are a professional tax firm specializing in FBAR tax filings and tax negotiations. We are compromised of Board Certified Tax Lawyers, Tax Attorneys, CPA’s and Former IRS Agents who where both teaching instructors and former IRS managers when employed by the IRS. We have a combined 60 years who experience at the IRS.
We also taught Tax Law while employed by the IRS.
Our firm specializes in the filing, negotiation and tax debt settlements of World Wide FBAR cases.
The IRS viewpoint on FBAR
The Internal Revenue Service is starting ramp up enforcement of there International Tax Program and the latest goldmine for the feds is found in the FBAR filings and payment.
To date the IRS has found over $5 billion Dollars in collectables. With that type of money on the table the IRS is not going to quit. This makes the IRS look good!
As a matter of fact the IRS is dedicating much of there millions in enforcement budget specifically to this FBAR project.
After speaking to several IRS agents, the management of the IRS is going to “make FBAR headlines with there enforcement”. They want to scare taxpayers to death.
What hangs over the head of many of the taxpayers is the fear of going to jail and this is huge. It makes people jump and scares them into tax compliance. And, it has worked!
Who Must File an FBAR
United States persons are required to file an FBAR if:
The United States person had a financial interest in or signature authority over at least one financial account located outside of the United States; and
The aggregate value of all foreign financial accounts exceeded $10,000 at any time during the calendar year to be reported.
United States person means United States citizens; United States residents; entities, including but not limited to, corporations, partnerships, or limited liability companies created or organized in the United States or under the laws of the United States; and trusts or estates formed under the laws of the United States.
Exceptions to the Reporting Requirement
Exceptions to the FBAR reporting requirements can be found in the FBAR instructions.
There are filing exceptions for the following United States persons or foreign financial accounts:
1.Certain foreign financial accounts jointly owned by spouses;
2.United States persons included in a consolidated FBAR;
3.Correspondent/nostro accounts;
4.Foreign financial accounts owned by a governmental entity;
5. Foreign financial accounts owned by an international financial institution;
6.IRA owners and beneficiaries;
7.Participants in and beneficiaries of tax-qualified retirement plans;
8.Certain individuals with signature authority over but no financial interest in a foreign financial account;
9.Trust beneficiaries; and
10.Foreign financial accounts maintained on a United States military banking facility.
If you are looking to have true FBAR experts handle your case call us today for a no cost consult. 1-866-700-1040.
You will speak directly to a Tax Lawyer, Tax Attorney, CPA or a Former IRS Agents.
