IRS Streamlined Procedures

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Domestic Voluntary Disclosure IRS Domestic Voluntary Disclosure & the IRS  Domestic Voluntary Disclosure IRS: When a Taxpayer makes a voluntary disclosure to the IRS, the offshore aspect of the submission is the one aspect most people are familiar with. In a very common scenario, a U.S. person will have unreported foreign accounts, assets, investments, and/or income which was not previously reported to the U.S. government. But, the domestic voluntary disclosure program can be equally…
Is Tax Evasion a Felony? Why Is Tax Evasion a Felony? Is Tax Evasion a Felony? When a person believes they may have committed a serious tax violation, one of the most common researched terms on the internet is “tax evasion” and whether it is a criminal offense. Tax evasion is a criminal offense, and it is one of the tax crimes that the IRS and U.S. government in general seeks to enforce against Taxpayers. …
Foreign Earned Income Exclusion Foreign Earned Income Exclusion Foreign Earned Income Exclusion: When a U.S. person works overseas and meets the necessary IRS requirements, they may be able to exclude a portion of their foreign income and housing from their US taxes. There are very specific requirements in order to take advantage of this role. One common misconception is that if a person qualifies, then they do not have to include the income on their…
Foreign Rental Income & Depreciation Foreign Rental Income & Property Depreciation Foreign Rental Income & Depreciation Rules for US Tax: The United States is one of the few countries that taxes U.S. Persons on their worldwide income. Therefore, when a U.S. Person has foreign rental income from a property outside of the United States, that income is taxable and reportable on a US tax return. Specifically, foreign rental income and depreciation is included on IRS
FATCA India Compliance FATCA India Compliance Are Indian Accounts, Assets & Income Reportable in the U.S.?: There are many complexities involving Indian accounts, assets & income. The interplay between Indian Money and the U.S. tax system and IRS offshore compliance has many components to it. That is because many of the tax rules in India are different than the rules in the United States. In general, the tax rules on passive assets and interest are…
FATCA Foreign Pension Reporting on the 8938 Form FATCA Foreign Pension Plan Reporting & Form 8938  Do I report Pension of FATCA Form 8938? The tax and reporting of foreign pension plans has many facets to it, and one of them includes foreign asset disclosure to the IRS.  FATCA is the Foreign Account Tax Compliance Act.Form 8938 is the IRS form used by Taxpayers in the U.S. to report Specified Foreign Financial Assets under…
US Tax of Foreign Pension Plans: 402(b) Income Tax Rules Foreign Pension Plans 402(b) & U.S. Tax Foreign Pension Plans 402(b) & U.S. Tax: When U.S. Persons have worked in a foreign country and/or for a foreign employer, they may have a foreign pension plan. Even if the foreign country treats the pension in the same way that the U.S treats a similar U.S. pension (such as a 401K), the IRS requirements for reporting and…
Foreign Pension Plan FBAR: Is it Reportable on FinCEN 114? Foreign Pension Plan FBAR Reporting Is Foreign Pension FBAR Reportable: Yes. In an nutshell, the Foreign Pension Plans are Reportable on the FBAR. The FBAR is Foreign Bank and Financial Account Form (FinCEN Form 114).  It is an electronic form that is filed each year the person has an annual aggregate total in their foreign bank accounts that exceeds $10,000. Foreign pension plan FBAR reporting…
FBAR Amnesty Program IRS FBAR Amnesty & Tax Program Who is Eligible for the IRS FBAR Amnesty Program: The term FBAR Amnesty Program or FBAR Amnesty Tax Program are misnomers. That is because there are several IRS programs taxpayers may use in order to reduce, minimize or avoid the change of being hit with FBAR Violation Penalties. Some of the more common programs, include: Voluntary Disclosure Program (VDP or New OVDP) Streamlined Offshore Procedures Streamlined…
IRS Non-Willful Certification Streamlined Form IRS Non-Willful Certification Streamlined Form How to Write an IRS Non-Willful Certification Streamlined Form: The IRS non-willful certification is an important part of the streamlined disclosure procedure process. When a taxpayer wants to submit to the Streamlined Domestic or Streamlined Foreign procedures, they are required to include a non-willful certification form. The Certification Form is prepared on either an IRS Form 14653 (foreign) or Form 14654 (domestic). The failure to…