Authorities can file criminal charges against individuals who are hiding assets from the IRS, don’t file tax returns, file false returns, and otherwise evade taxes.
Hiding Assets From The IRS: FBAR
Under U.S tax laws, parties must report overseas bank accounts, brokerage accounts, securities, mutual funds, and other foreign accounts. The procedure is known as FBAR, and you can read more about it here. Be aware: failure to file FBAR documentation can result in gigantic fines and a 10-year prison sentence.
Hiding Assets From The IRS:Violations and Punishments
- Filing a False Tax Return: Up to $250,000 in fines and a 3-year prison sentence.
- Tax Evasion: Up to $250,000 in fines and a 5-year prison sentence.
- Conspiracy to Defraud the Government: Up to $250,000 in fines and 10-year prison sentence.
Hiding Assets From The IRS: Achieving Compliance Through OVDP
Reporting foreign financial interests can be a complex process, especially when juggling multiple accounts. Thankfully, via the Offshore Voluntary Disclosure Program (OVDP), the IRS offers tax assistance to parties who owe penalties on foreign assets.
In short: program participants can reduce fines, avoid criminal charges, and come clean.
Let’s Chat About How We Can Help You
Do you need to clean up some back tax issues? We know the process seems daunting, but we’ve helped countless other people get over the hump, and we can do the same for you. In many cases, people end up owing a lot less than they think.
The key is to just jump in and get it done. The water is more tolerable than you think.
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