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IRS Streamlined Procedures – Tax Lawyers | Board-Certified Specialist

IRS Streamlined Procedures - Tax Lawyers | Board-Certified Specialist (Golding & Golding, Board-Certified)

IRS Streamlined Procedures – Tax Lawyers | Board-Certified Specialist (Golding & Golding, Board-Certified)

IRS Streamlined Procedures – Tax Lawyers | Board-Certified Specialist

Streamlined Procedures Tax Lawyer (Board-Certified): Golding & Golding are Streamlined Procedures Tax Lawyers who specialize exclusively in Offshore Bank Accounts and Offshore Asset Disclosure. We have  successfully handled more than 1000 offshore disclosures.

IRS Streamlined Procedures 

Unlike other firms, we specialize exclusively in offshore voluntary disclosure. Each case is led by a Board-Certified Tax Law Specialist.

Learn more about hiring an IRS Streamlined Procedures Lawyer.

IRS Streamlined Offshore Reporting Program

The IRS Streamlined Offshore Reporting Program was developed by the U.S. Government. The purpose of the Streamlined Procedures is a form FBAR & FATCA Amnesty designed to assist non-willful taxpayers with getting into compliance.

Streamlined Procedures Tax Lawyer

Under the IRS Streamlined Offshore Reporting Program, a person can safely disclose unreported foreign accounts, assets, investments, and/or income — and received a reduce offshore penalty, or even a full penalty waiver.The two main streamlined procedures programs are the:

Streamlined Procedures

Our International Tax Lawyers have handled more than 1000 Offshore Voluntary Disclosure submissions.

Our Board-Certified Tax Law Specialist team specializes exclusively in this area — we have represented clients in over 70 Countries.  We are often called into assist Larger Firms, CPAs and other as consultants.

We are also called in on many occasions take over cases from less-experienced attorneys, who falsely market their experience, and only practice Streamlined Disclosure as part of their general tax practice.

IRS Streamlined Filing Compliance Procedures 

Golding & Golding’s IRS Streamlined Guide is designed to help introduce you to the basics of what you may need to report, and some of the more common reporting forms.

5% Penalty Streamlined Assets & Reporting

There are many different countries, and each country has its own specific tax nuances.They do not always bode well with U.S. Tax Law. 

Common Streamlined & Offshore Disclosure Issues (Worldwide)

These four (4) issues are common to most countries:

Mutual Funds & PFIC  – Streamlined Procedures & Offshore Voluntary Disclosure

Mutual Funds from outside of the United States are unfairly taxed in the U.S. The IRS developed a “penalty tax” PFIC method for computing tax on income generated from mutual funds. 

By this time, you may be aware that your foreign mutual funds are reportable (FBAR and 8621), but did you also know they are taxed in the U.S.?

And, as you may also imagine, the tax rules are complex, complicated, and heavy-handed in favor of the IRS.

Learn More about Foreign Mutual Funds

Tax-Free Income Abroad – Streamlined Procedures & Offshore Voluntary Disclosure

Generally, foreign income is taxable in the U.S., even if it is tax-free overseas — unless the U.S. excludes or exempts the income.

Learn More about U.S. Tax on Foreign Income

FATCA – Streamlined Procedures & Offshore Voluntary Disclosure

FATCA is the Foreign Account Compliance Act.  It is an international act designed to facilitate compliance for U.S. Taxpayers, Foreign Financial Institutions, and other intermediaries with proper reporting of Specified Foreign Financial Assets.

In recent years, the IRS has increased enforcement of offshore and foreign reporting – with the goal of combatting, reducing, and eliminating offshore/foreign tax fraud and evasion.

Learn More about FATCA

FBAR – Streamlined Procedures & Offshore Voluntary Disclosure

An FBAR must be filed by any U.S. person (a United States Citizen, Legal Permanent Resident/Green Card Holder or U.S. Visa Holder who meets the Substantial Presence Test).

It also does not matter if the money belongs to you or if you are merely a joint account holder with a foreign non-US person who owns all of the money — you have to file the form if you are an owner, joint account holder, or signatory on the account.

Learn More about FBAR

Foreign Country Reporting List

Let’s work through some of the more common countries. (This list is not exhaustive)

Austria – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Austrian tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in  Austria, it can still be taxed in the U.S.

Australia – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Australia has many different issues that may impact a Streamlined Disclosure or Offshore Voluntary Disclosure submission or Offshore Voluntary Disclosure, including: Superannuation, Private Limited, Franking Credits, etc.

Belgium Streamlined Offshore Disclosure Programs & Procedures

Belgium tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Belgium, it can still be taxed in the U.S.

Brazil – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Brazil tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Brazil, it can still be taxed in the U.S.

Canada – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Canada has many different issues that may impact a Streamlined Disclosure or Offshore Voluntary Disclosure, including: RRSP, RRIF, Canadian Foreign Corporations and GILTI.

China – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

China tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in   China, it can still be taxed in the U.S.

Finland – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Finland tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Finland, it can still be taxed in the U.S.

France – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

France has many different issues that may impact a Streamlined Filing Compliance submission or Offshore Voluntary Disclosure, including: CGS Tax Credit, PEL/PEA, Tax Exempt Accounts, and other specific Investments.

Greece – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Greece tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Greece, it can still be taxed in the U.S.

Hong Kong – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Hong Kong tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Hong Kong, it can still be taxed in the U.S.

India – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

India has many different issues that may impact a Streamlined Filing Compliance submission or Offshore Voluntary Disclosure, including: Fixed Deposits, Mutual Funds, Demat, PPF, Life Insurance.

Ireland – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Ireland tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Ireland, it can still be taxed in the U.S.

Italy – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Italy tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Italy, it can still be taxed in the U.S.

Japan – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Japan tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Japan, it can still be taxed in the U.S.

Mexico – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Mexico tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Mexico, it can still be taxed in the U.S.

Malaysia – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Malaysia tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with (beyond the Malaysian Provident Fund – MPF) — a very important issue to keep in mind is that even if the income is tax-free in Malaysia it can still be taxed in the U.S.

New Zealand – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

New Zealand has many different issues that may impact a Streamlined Filing Compliance submission or Offshore Voluntary Disclosure, including: Foreign Trusts, P.I.E. investment funds.

Philippines – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Philippines tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Philippines, it can still be taxed in the U.S.

Portugal – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Portugal tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Portugal, it can still be taxed in the U.S.

Russia – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Russia tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Russia, it can still be taxed in the U.S.

Singapore – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Singapore has many different issues that may impact a Streamlined Filing Compliance submission or Offshore Voluntary Disclosure, including: CPF Central Provident Funds, Life Insurance, UOB Trusts and more.

South Korea – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

South Korea tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in South Korea, it can still be taxed in the U.S.

Spain – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Spain tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Spain, it can still be taxed in the U.S.

Switzerland – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Switzerland has many different issues that may impact a Streamlined Filing Compliance submission or Offshore Voluntary Disclosure, including: Deferred Prosecution Agreements, Numbered Accounts.

Taiwan – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Taiwan has many different issues that may impact a Streamlined Filing Compliance submission or Offshore Voluntary Disclosure, including: Currency restrictions, Tax-Free Interest and more.

Thailand – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Thailand tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with (aside from the Thailand Provident Fund) — a very important issue to keep in mind is that even if the income is tax-free in Thailand, it can still be taxed in the U.S.

Turkey – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

Turkey tax law is complex and there are many issues to contend with when submitting a Streamlined Disclosure or Offshore Voluntary Disclosure. While there is not one single common issue to contend with — a very important issue to keep in mind is that even if the income is tax-free in Turkey, it can still be taxed in the U.S.

UK – Streamlined Disclosure & Offshore Voluntary Disclosure Procedures

UK has many different issues that may impact a Streamlined Filing Compliance submission or Offshore Voluntary Disclosure, including: Foreign Retirement, Pension, ISA.

IRS Offshore “Potential” Penalty List

The following is a list of potential IRS penalties for unreported and undisclosed foreign accounts and assets:

Failure to File

If you do not file by the deadline, you might face a failure-to-file penalty. If you do not pay by the due date, you could face a failure-to-pay penalty. The failure-to-file penalty is generally more than the failure-to-pay penalty.

The penalty for filing late is usually 5 percent of the unpaid taxes for each month or part of a month that a return is late. This penalty will not exceed 25 percent of your unpaid taxes. If you file your return more than 60 days after the due date or extended due date, the minimum penalty is the smaller of $135 or 100 percent of the unpaid tax.

Failure to Pay

f you do not pay your taxes by the due date, you will generally have to pay a failure-to-pay penalty of ½ of 1 percent of your unpaid taxes for each month or part of a month after the due date that the taxes are not paid. This penalty can be as much as 25 percent of your unpaid taxes. If both the failure-to-file penalty and the failure-to-pay penalty apply in any month, the 5 percent failure-to-file penalty is reduced by the failure-to-pay penalty.

However, if you file your return more than 60 days after the due date or extended due date, the minimum penalty is the smaller of $135 or 100 percent of the unpaid tax. You will not have to pay a failure-to-file or failure-to-pay penalty if you can show that you failed to file or pay on time because of reasonable cause and not because of willful neglect.

Civil Tax Fraud

If any part of any underpayment of tax required to be shown on a return is due to fraud, there shall be added to the tax an amount equal to 75 percent of the portion of the underpayment which is attributable to fraud.

A Penalty for failing to file FBARs

The civil penalty for willfully failing to file an FBAR can be as high as the greater of $100,000 or 50 percent of the total balance of the foreign financial account per violation. See 31 U.S.C. § 5321(a)(5). Non-willful violations that the IRS determines were not due to reasonable cause are subject to a $10,000 penalty per violation.

A Penalty for failing to file Form 8938

The penalty for failing to file each one of these information returns is $10,000, with an additional $10,000 added for each month the failure continues beginning 90 days after the taxpayer is notified of the delinquency, up to a maximum of $50,000 per return.

A Penalty for failing to file Form 3520

The penalty for failing to file each one of these information returns, or for filing an incomplete return, is the greater of $10,000 or 35 percent of the gross reportable amount, except for returns reporting gifts, where the penalty is five percent of the gift per month, up to a maximum penalty of 25 percent of the gift.

A Penalty for failing to file Form 3520-A

The penalty for failing to file each one of these information returns or for filing an incomplete return, is the greater of $10,000 or 5 percent of the gross value of trust assets determined to be owned by the United States person.

A Penalty for failing to file Form 5471

The penalty for failing to file each one of these information returns is $10,000, with an additional $10,000 added for each month the failure continues beginning 90 days after the taxpayer is notified of the delinquency, up to a maximum of $50,000 per return.

A Penalty for failing to file Form 5472

The penalty for failing to file each one of these information returns, or to keep certain records regarding reportable transactions, is $10,000, with an additional $10,000 added for each month the failure continues beginning 90 days after the taxpayer is notified of the delinquency.

A Penalty for failing to file Form 926

The penalty for failing to file each one of these information returns is ten percent of the value of the property transferred, up to a maximum of $100,000 per return, with no limit if the failure to report the transfer was intentional.

A Penalty for failing to file Form 8865

Penalties include $10,000 for failure to file each return, with an additional $10,000 added for each month the failure continues beginning 90 days after the taxpayer is notified of the delinquency, up to a maximum of $50,000 per return, and ten percent of the value of any transferred property that is not reported, subject to a $100,000 limit.

Fraud penalties imposed under IRC §§ 6651(f) or 6663

Where an underpayment of tax, or a failure to file a tax return, is due to fraud, the taxpayer is liable for penalties that, although calculated differently, essentially amount to 75 percent of the unpaid tax.

A Penalty for failing to file a tax return imposed under IRC § 6651(a)(1)

Generally, taxpayers are required to file income tax returns. If a taxpayer fails to do so, a penalty of 5 percent of the balance due, plus an additional 5 percent for each month or fraction thereof during which the failure continues may be imposed. The penalty shall not exceed 25 percent.

A Penalty for failing to pay the amount of tax shown on the return under IRC § 6651(a)(2)

If a taxpayer fails to pay the amount of tax shown on the return, he or she may be liable for a penalty of .5 percent of the amount of tax shown on the return, plus an additional .5 percent for each additional month or fraction thereof that the amount remains unpaid, not exceeding 25 percent.

An Accuracy-Related Penalty on underpayments imposed under IRC § 6662

Depending upon which component of the accuracy-related penalty is applicable, a taxpayer may be liable for a 20 percent or 40 percent penalty

Possible Criminal Charges related to tax matters include tax evasion (IRC § 7201)

Filing a false return (IRC § 7206(1)) and failure to file an income tax return (IRC § 7203). Willfully failing to file an FBAR and willfully filing a false FBAR are both violations that are subject to criminal penalties under 31 U.S.C. § 5322.  Additional possible criminal charges include conspiracy to defraud the government with respect to claims (18 U.S.C. § 286) and conspiracy to commit offense or to defraud the United States (18 U.S.C. § 371).

A person convicted of tax evasion

Filing a false return subjects a person to a prison term of up to three years and a fine of up to $250,000. A person who fails to file a tax return is subject to a prison term of up to one year and a fine of up to $100,000. Failing to file an FBAR subjects a person to a prison term of up to ten years and criminal penalties of up to $500,000.  A person convicted of conspiracy to defraud the government with respect to claims is subject to a prison term of up to not more than 10 years or a fine of up to $250,000.  A person convicted of conspiracy to commit offense or to defraud the United States is subject to a prison term of not more than five years and a fine of up to $250,000.

Golding & Golding, A PLC

We have successfully represented clients in more than 1,000 streamlined and voluntary disclosure submissions nationwide and in over 70-different countries.

We are the “go-to” firm for other Attorneys, CPAs, Enrolled Agents, Accountants, and Financial Professionals across the globe.

International Tax Lawyers - Golding & Golding, A PLC

International Tax Lawyers - Golding & Golding, A PLC

Golding & Golding: Our international tax lawyers practice exclusively in the area of IRS Offshore & Voluntary Disclosure. We represent clients in 70+ different countries. Managing Partner Sean M. Golding is a Board-Certified Tax Law Specialist Attorney (a designation earned by < 1% of attorneys nationwide.). He leads a full-service offshore disclosure & tax law firm. Sean and his team have represented thousands of clients nationwide & worldwide in all aspects of IRS offshore & voluntary disclosure and compliance during his 20-year career as an Attorney.

Sean holds a Master's in Tax Law from one of the top Tax LL.M. programs in the country at the University of Denver. He has also earned the prestigious IRS Enrolled Agent credential. Mr. Golding's articles have been referenced in such publications as the Washington Post, Forbes, Nolo, and various Law Journals nationwide.
International Tax Lawyers - Golding & Golding, A PLC

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