The OVDP is available to taxpayers who face potential criminal liabilities and/or substantial civil penalties due to a wilful failure to report foreign financial assets and pay all tax due in respect of those assets. Under OVDP, taxpayers are protected from criminal liability and pay a fixed penalty.
As a result of FATCA and various intergovernmental agreements, the IRS have been able to obtain information on undeclared offshore accounts, which could be used to identify those individuals who remain non-compliant.
For taxpayers whose failure to comply is non-wilful, the IRS have confirmed the following disclosure options are still available:
- IRS-Criminal Investigation Voluntary Disclosure Program;
- Streamlined Filing Compliance Procedures;
- Delinquent FBAR submission procedures; and
- Delinquent international information return submission procedures.
It is crucial that wilful non-filers take advantage of the OVDP immediately in order to avoid criminal penalties under existing law. There are 6 months remaining for a complete submission under the OVDP.
How we can help
Our team have significant experience in bringing US taxpayers up to date with their US tax reporting across all programmes.
For further guidance and advice tailored to your specific circumstances, please contact:
Director, Expatriate Tax Services
E | firstname.lastname@example.org
T | +44 (0)20 7556 1207
More about Buzzacott Expatriate Tax Services
Our Expatriate Tax Services team help US and UK citizens based away from home to manage their income and reduce liabilities, ensuring compliance with local tax regimes. We know that navigating an unfamiliar tax environment can be confusing, and we’re here to simplify it. With internationally mobile clients this involves a partnership that lasts through many stages of their lives. We like to get to know our clients well, and we’re passionate about looking after them.