You may think you know what a taxpayer with foreign assets looks like. It’s easy to paint a picture of the super-rich jetting off to the Caymans, but that’s more Hollywood-driven than real life. Taxpayers with control over foreign assets come in all shapes and sizes. It’s the executive who works in the U.S. on…
More than 1 million Report of Foreign Bank and Financial Accounts (more commonly, FBARs) were filed in 2015, a record high. Under the Banking Secrecy Act (BSA) and Foreign Account Tax Compliance Act (FATCA), US taxpayers with foreign accounts are under more scrutiny than ever.
I can already tell it’s summer not just by the long lines at the airport and the blazing heat but by the number of vacation pictures being posted on Facebook. Folks have packed up and moved out in search of rest, relaxation, and summer fun. But before you get too comfortable this summer, check to…
Donna (not her real name, of course) has been breaking the law for years. The funny thing is she doesn’t look like your stereotypical criminal: she’s well dressed, well spoken and well travelled. She hasn’t physically harmed anyone. She hasn’t stolen anything. I’m not sure she has so much as a traffic violation. Her crime?…
In 1970, Congress passed the Bank Secrecy Act which was pretty much the first law on the books in the US to require banks and other financial institutions to reveal personal financial information to the government. Yep, this was long before the Patriot Act and was originally meant to assist law enforcement agencies in the…
Update: We have a winner! It’s Chad! For the answer, see the comments! Our next tax trivia question for the giveaway is: This year, thanks to UBS, the Bank Secrecy Act has gotten a lot of press. Under the Act, each US person must file a Report of Foreign Bank and Financial Accounts (FBAR) if…
The Internal Revenue Service (IRS) has announced an extension of the deadline for its Offshore Voluntary Compliance Program. The deadline, which was initially September 23, 2009, has been pushed out until October 15, 2009. While more than 3,000 have come forward so far, the program is expected to garner considerably more taxpayers before the deadline….
Taxpayer asks: I was just reading about the rules for FBAR, and noticed that the IRS says that people who have Power of Attorney (POA) for elderly relatives with foreign bank accounts must submit FBAR reports if those accounts total over $10,000 at any point during the year. As it happens, I have a POA…
The IRS crackdown on foreign accounts has been generating a lot of discussion in the blogosphere. Some folks argue that it’s a waste of resources, others argue that it’s been a long time coming. Today’s Fix the Tax Code Friday question is: Is the targeting of offshore accounts a fair use of IRS resources? Or…
Taxpayer asks: Hi Kelly, With all the publicity about UBS and foreign bank accounts, I have some concerns that a lot of parents may be sharing… I know you’re a mom too (though your kids are too young for you to have to worry about this right now!) But, if you were in my shoes,…