Recent IRS Policy Shift Requires Taxpayers to Reevaluate Decisions made as to Previously Undisclosed Offshore Accounts and Assets

Russian de-offshorisation legislation and voluntary disclosure: Which way now?

Italian voluntary disclosure - Issues likely to be faced by trustees with Italian resident settlors/beneficiaries and/or Italian assets

New IRS streamlined filing procedures expands eligibility to US residents and foreign residents



Prior disclosures

The IRS has confirmed that more than 3,000 disclosures have been made since the last voluntary disclosure program ended. Those taxpayers who initiated a disclosure after October 15, 2009 will be processed according to the terms of the 2011 Offshore Voluntary Disclosure Initiative.

Taxpayers who came forward during the 2009 program may be eligible to claim the reduced ‘in lieu of' penalty if they otherwise satisfy the criteria. ‘Accidental Americans' and people with inherited accounts who have already come forward may therefore benefit from a reduced penalty.

'Quiet' voluntary disclosures

The IRS is aware that some individuals have attempted so-called ‘quiet' disclosures by filing amended returns without entering the formal voluntary disclosure program. The IRS is currently reviewing amended returns and selecting certain taxpayers for audit. Individuals who are singled out for audit are not eligible to participate in the 2011 Offshore Voluntary Disclosure Initiative. However, individuals who have filed quietly and have not yet been audited may make an application to participate.

IRS Voluntary Disclosure