NEW FBAR “DOMESTIC” RELIEF FOR U.S. RESIDENTS

Until June 18, 2014, US residents who failed to file FBAR forms and report income from “offshore” accounts on their US tax returns had significant penalty exposure and were not eligible for most relief provisions. IRS Notice IR-2014-73 changes this, and provides additional options to US residents. Continue reading

OFFSHORE VOLUNTARY DISCLOSURE PROGRAM “GOTCHAS” FOR US RESIDENTS

If you are a US resident with foreign bank accounts and foreign rental property, there is a hidden twist that may radically increase FBAR penalties. This problem usually arises when an individual inherits a foreign account and foreign rental property, or owns these items prior to moving to the US. Continue reading

ACCIDENTAL US CITIZENS

Children born outside of the US who have at least one US citizen parent may be surprised to learn that they are US citzens — and have always been required to file US tax returns, FBAR forms and Form 8938. (They may qualify for FBAR penalty relief under the procedures outlined in IRS release IR-2012-65.) Continue reading