U.S. Taxpayers (includes a citizen, permanent resident, corporation, partnership, limited liability company, trust and estate) are required to file a Report of Foreign Bank and Financial Accounts (FBAR) if they have...more
2/7/2020
/ FBAR ,
FinCEN ,
Foreign Bank Accounts ,
Income Taxes ,
IRS ,
Offshore Banks ,
Offshore Funds ,
Reporting Requirements ,
Tax Court ,
Tax Evasion ,
Tax Liability ,
Tax Penalties ,
Tax Planning ,
Tax Returns
On September 6, 2019, IRS announced Relief Procedures for Certain Former Citizens. These are procedures for certain persons who have relinquished, or intend to relinquish, their United States citizenship, who wish to come...more
1/17/2020
/ Citizenship ,
Expatriates ,
FATCA ,
FFI ,
Filing Requirements ,
Income Taxes ,
IRS ,
Popular ,
Reporting Requirements ,
Tax Code ,
Tax Liability ,
Tax Planning ,
Tax Relief
The U.S. income tax system is based on the idea of voluntary taxpayer compliance. It is the taxpayer’s responsibility to report all reportable worldwide income. Some people attempt to evade paying taxes by failing to report...more
During the month of October 2019, IRS issued Revenue Ruling 2019-24, FAQ’s on Virtual Currency Transactions and a DRAFT Form of Schedule 1, which, for the first time presents the question: “At any time during 2019, did you...more
11/15/2019
/ Bitcoin ,
Capital Gains ,
Cryptocurrency ,
Digital Currency ,
Filing Requirements ,
Financial Transactions ,
Income Taxes ,
Investment ,
IRS ,
Popular ,
Reporting Requirements ,
Tax Liability ,
Tax Planning ,
Tax Returns ,
Virtual Currency
On June 20, 2019, the National Taxpayer Advocate (TA), an independent organization within the IRS that helps taxpayers and protects taxpayer rights, issued a final Report to Congress. A section of the report focused on the...more
9/27/2019
/ Amended Rules ,
Burden of Proof ,
Criminal Liability ,
Criminal Penalties ,
FBAR ,
Foreign Assets ,
IRS ,
Offshore Funds ,
OVDP ,
Reporting Requirements ,
Voluntary Disclosure
There are Taxpayers that understate income, overstate expenses and present fraudulent claims on their tax returns for credits and deductions. These Taxpayers run the risk of being identified by the IRS and having IRS...more
On May 30, 2018, the AICPA (American Institute of Certified Public Accountants) wrote a letter to the IRS to obtain further definition and clarity regarding Virtual Currency (VC) FATCA and FBAR reporting requirements....more
6/10/2019
/ AICPA ,
Anti-Money Laundering ,
FATCA ,
FBAR ,
FinCEN ,
Foreign Financial Institutions (FFI) ,
Future Tax Treatment ,
IRS ,
Reporting Requirements ,
Required Forms ,
Tax Planning ,
Virtual Currency
The Suspicious Activity Report (SAR) was created by five federal financial agencies and the Treasury Department’s Financial Crimes Enforcement Network (FinCEN)....more
6/3/2019
/ Anti-Money Laundering ,
Bank Secrecy Act ,
BSA/AML ,
Financial Abuse ,
Financial Crimes ,
Financial Institutions ,
Financial Transactions ,
FinCEN ,
Money Laundering ,
Regulatory Requirements ,
Reporting Requirements ,
Suspicious Activity Reports (SARs)
Ahora que el IRS lleva cuatro años intercambiando datos de FATCA en sus computadoras y se está embarcando en una Campaña de Exactitud de Presentación de FATCA, existe una urgencia especial para los Contribuyentes...more
5/1/2019
/ Cooperative Compliance Regime ,
Delinquency Status ,
Failure to Comply ,
FATCA ,
FBAR ,
FFI ,
Foreign Financial Institutions (FFI) ,
IRS ,
OVDP ,
Passports ,
Reporting Requirements ,
Tax Debt ,
Tax Planning ,
Tax Returns
Now that IRS has four years of FATCA exchanged data in its computers and is embarking on a FATCA Filing Accuracy Campaign, there is a special urgency for noncompliant U.S. Taxpayers that did not previously exist....more
5/1/2019
/ Cooperative Compliance Regime ,
Delinquency Status ,
Failure to Comply ,
FATCA ,
FBAR ,
FFI ,
Foreign Financial Institutions (FFI) ,
IRS ,
OVDP ,
Passports ,
Reporting Requirements ,
Tax Debt ,
Tax Planning ,
Tax Returns
Virtual Currency (VC) investors continue to have accounting challenges at tax time. They are seeking to better understand and comply with their U.S. tax regulatory obligations when using VC. ...more
4/8/2019
/ 1099s ,
Bitcoin ,
Capital Gains ,
Digital Assets ,
Digital Currency ,
Financial Transactions ,
Income Taxes ,
Internal Revenue Code (IRC) ,
Investment Opportunities ,
IRS ,
Reporting Requirements ,
Tax Liability ,
Tax Planning ,
Virtual Currency
IRS holds information that is sourced from the FATCA reports submitted by Foreign Financial Institutions (FFI) (on Form 8966 - FATCA Report) and by Individual US Taxpayers that have reporting obligations via Form 8938...more
4/1/2019
/ Banking Sector ,
FATCA ,
Foreign Financial Accounts ,
Global Intermediary Identification Number (GIIN) ,
IRS ,
Offshore Funds ,
Reporting Requirements ,
Tax Evasion ,
Tax Planning ,
Threshold Requirements ,
Voluntary Disclosure
On November 15, 2018, the Financial Crimes Enforcement Network (FinCEN) announced the issuance of a “Revised” Geographic Targeting Order (GTO) that requires U.S. title insurance companies (Covered Business) to identify the...more
3/25/2019
/ Anti-Money Laundering ,
Beneficial Owner ,
Currency Transaction Reports (CTR) ,
FinCEN ,
Geographic Targeting Order ,
Real Estate Investments ,
Real Estate Transactions ,
Reporting Requirements ,
Residential Real Estate Market ,
Shell Corporations ,
Tax Planning ,
Title Insurance ,
Virtual Currency
On February 14, 2019, the TREASURY INSPECTOR GENERAL FOR TAX ADMINISTRATION (TIGTA) released the Report “Expansion of the Gig Economy Warrants Focus on Improving Self-Employment Tax Compliance”. ...more
3/18/2019
/ 1099s ,
AirBnB ,
Employee Definition ,
Etsy ,
Gig Economy ,
Income Taxes ,
Independent Contractors ,
IRS ,
Online Platforms ,
Reporting Requirements ,
Self Employed ,
Self-Employment Tax ,
Sharing Economy ,
Tax Planning ,
Uber
On September 28, 2018, the IRS closed the Offshore Voluntary Disclosure Program (2014 OVDP). The 2014 OVDP (and prior 2011 and 2009 programs) had the purpose of providing Taxpayers that WILLFULLY failed to report foreign...more
El Oficial Responsable (“RO”) de una Institución Financiera Extranjera Participante (“PFFI”) o una Institución Financiera Extranjera (“FFI”) Modelo 2 de Reporte estuvo obligado a presentar la Certificación FATCA de la FFI de...more
El 30 de octubre del 2018, la división Internacional y de Grandes Empresas del IRS (“LBI”) anunció la aprobación de una campaña de cumplimiento que incluye cómo las Instituciones Financieras Extranjeras (“FFIs)) y ciertas...more
The Responsible Officer (RO) of a Participating Foreign Financial Institution (PFFI) or Reporting Model 2 FFI is required to file the FFI’s FATCA certification of an Entity’s preexisting accounts (COPA) and its Periodic...more
The IRS Automated Underreporter Matching Process matches Tax Returns against Information Returns. IRS states that there were approximately 150 million individual tax returns filed in 2017 and about 25 million of them (17%)...more
The days of avoiding taxes through hiding money or assets in unreported offshore accounts are gone. Nonetheless, there are still taxpayers with undeclared offshore accounts, as well as the banks and bankers that are...more
On September 19, 2018, the House Ways and Means Committee wrote a letter to the IRS urging the IRS to “issue updated guidance, providing additional clarity for Taxpayers seeking to better understand and comply with their tax...more
11/20/2018
/ Bitcoin ,
Capital Gains ,
Cryptocurrency ,
Digital Currency ,
Financial Transactions ,
Income Taxes ,
Investment ,
IRS ,
Reporting Requirements ,
Tax Liability ,
Tax Planning ,
Tax Returns ,
Virtual Currency
A Foreign Trust can be a legitimate instrument for US Taxpayers that may have family members in foreign jurisdictions, have foreign business interests or are the beneficiaries of trusts created in other countries. ...more
El 11 de Noviembre del 2018, el Departamento de Justicia de los EE. UU. (“DOJ”) informó que el banquero Adrian Baron, el ex Director de Negocios y ex Director Ejecutivo de Loyal Bank Ltd, un banco “off-shore” con oficinas en...more
11/2/2018
/ Criminal Prosecution ,
Department of Justice (DOJ) ,
Enforcement Actions ,
Failure to Comply ,
FATCA ,
Financial Services Industry ,
Foreign Financial Institutions (FFI) ,
IGAs ,
IRS ,
Offshore Funds ,
Reporting Requirements ,
Strict Compliance ,
Tax Evasion ,
Tax Planning
On September 11, 2018, the US Department of Justice (DOJ) reported that banker Adrian Baron, the former Chief Business Officer and former Chief Executive Officer of Loyal Bank Ltd, an off-shore bank with offices in Budapest,...more
11/2/2018
/ Criminal Prosecution ,
Department of Justice (DOJ) ,
Enforcement Actions ,
Failure to Comply ,
FATCA ,
Financial Services Industry ,
Foreign Financial Institutions (FFI) ,
IGAs ,
IRS ,
Offshore Funds ,
Reporting Requirements ,
Strict Compliance ,
Tax Evasion ,
Tax Planning
Sigue habiendo dirección limitada del Tesoro de los EE.UU y el IRS sobre la Moneda virtual (MV) y los inversionistas de la MV deben proceder con cautela....more
10/8/2018
/ 1099s ,
Bitcoin ,
Cryptocurrency ,
Digital Currency ,
Financial Instruments ,
Financial Transactions ,
Income Taxes ,
Investment Opportunities ,
Investment Products ,
IRS ,
Reporting Requirements ,
Tax Liability ,
Tax Planning ,
Tax Reform ,
Taxable Income ,
Virtual Currency