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Streamlined Procedure, OVDP Compliance

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Streamlined Procedure, OVDP Compliance

The IRS announced major changes to its offshore voluntary compliance programs, providing new options to help taxpayers residing both overseas and in the United States. The changes are intended to give thousands of people a new avenue to comply with their US. tax obligations. Modifications were made in response to public comments that the existing program lacked a path to compliance for individuals whose failure to report offshore accounts was not willful.

Because taxpayers? non-US. investments vary widely, the IRS offers the following options for addressing previous failures to comply with US. tax and information return obligations:
  • The Offshore Voluntary Disclosure Program (OVDP)
  • Streamlined filing compliance procedures
  • Delinquent Report of Foreign Bank and Financial Accounts (FATCA/FBAR)

The IRS will continue its enforcement efforts worldwide through their ongoing investigations with banks & financial institutions, thus targeting US. taxpayers who have unreported Foreign-Source Bank Accounts and Investments. Taxpayers with unfiled foreign bank account reports or unreported income from offshore accounts would be wise to seek the advice of competent tax counsel, who can evaluate the case, explain the options, and develop a defense strategy. We have successfully handled hundreds of cases and our familiarity with each of these options allows us to effectively counsel clients on which compliance path best fits the particular circumstances of the case.