Saturday, June 21, 2014
As I have previously discussed, the IRS announced changes to the Offshore Voluntary Compliance Program which offers incentives for disclosing offshore accounts. The IRS also announced Wednesday, new Streamlined Foreign Offshore Procedures, which will assist U.S. citizens that are not residing in the U.S. to come into compliance if their failure to file tax returns was not willful. The proper steps should be followed carefully, as failure to submit all required items within IRS specifications will negate the benefits and incentives created by the program. Some of the requirements include, filing delinquent or amended tax returns for the past three years, filing delinquent FBARs for the past six years, and paying all past due taxes and interest.
See Steven J. Fromm, US Citizens Living Outside America: Streamlined Foreign Offshore Procedure Offers Tax and Compliance Relief, Philadelphia Estate and Tax Attorney Blog, June 19, 2014.