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You Should Worry About Section 6501(c)(8) by Edward M. Robbins, Jr.

Most tax practitioners understand the basic assessment statute of limitations rules in the Code: three years after the return is filed, six years after the return is filed for 25% omission of income, or forever in the case of fraud and/or failure to file.[i]  Practitioners may be less familiar with the raft of additional special […] Read More…

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Part III: Six IRS Letters and Notices You Must Not Ignore by Edward M. Robbins, Jr.

We finish this three-part discussion by discussing the final two IRS letters and notices cannot be ignored without serious adverse legal consequences for the taxpayer.  The taxpayer must not ignore these two IRS letters and notices! 5.  Statutory Notice of Disallowance of a Claim for Refund Ignoring this notice is catastrophic if the taxpayer is interested […] Read More…

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Tax Consequences Resulting From Renouncing U. S. Citizenship by Lacey E. Strachan

The U.S. is among the few industrialized countries that taxes citizens who live  abroad, even if their income is entirely sourced in a foreign country. It is believed an estimated 6 million Americans live outside the United States but otherwise remain subject to taxation by the U.S. During the past year, an estimated 1,800 people […] Read More…

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Part II – Six IRS Letters and Notices You Must Not Ignore by Edward M. Robbins, Jr.

Every year the IRS sends millions of letters and notices to taxpayers for a variety of reasons. Many of these letters and notices are for informational purposes only and do not need a taxpayer response.  Many more of these letters and notices are benign and can be dealt with simply, without having to call or […] Read More…

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New IRS Commissioner Nominated by President Obama

President Obama recently announced his nomination of John Koskinen as the next Commissioner of the Internal Revenue Service for the term expiring on November 12, 2017. President Obama stated, “John is an expert at turning around institutions in need of reform.  With decades of experience, in both the private and public sectors, John knows how to […] Read More…

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Professional Responsibility and the FBAR by Michel Stein

We applaud the Internal Revenue Service (“IRS”) for releasing information regarding professional responsibility and the Foreign Bank and Financial Accounts Reports (“FBAR”).  The FBAR reporting requirements have gain much attention in the past five years and have produced a whole host of ethical and legal concerns not historically considered by practitioners. There have been ongoing […] Read More…

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PART I: Six IRS Letters and Notices You Must Not Ignore by Edward M. Robbins, Jr.

Every year the IRS sends millions of letters and notices to taxpayers for a variety of reasons. Many of these letters and notices are for informational purposes only and do not need a taxpayer response.  Many more of these letters and notices are benign and can be dealt with simply, without having to call or […] Read More…

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CAN THE FRAUD OF THE TAX PREPARER BE IMPUTED TO THE TAXPAYER? by Steve Toscher and Della Bauserman

Prior to 2001, the answer was generally “No.”  Today, the answer is unclear. In 1950, there were a series of cases, that all had similar facts, where the Tax Court addressed the issue of whether the fraud of the preparer could be imputed to the taxpayer for the purposes of the fraud penalty under IRC […] Read More…

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Reminder: 2012 FBAR Filing Due by June 30

If you had any interest in a foreign financial account at any time during calendar year 2012, you may have an obligation to file an FBAR by June 30, 2013! U.S. persons having a financial interest in or signature authority over a foreign financial account, including a bank account, brokerage account, mutual fund, trust, or […] Read More…

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DoJ Files Action to Collect Multiple 50% Civil FBAR Penalties in U.S.A. vs. Zwerner

Numerous U.S. taxpayers with previously undisclosed interests in foreign financial accounts and assets continue to analyze and seek advice regarding the most appropriate methods of coming into compliance with their filing and reporting obligations. Many U.S. taxpayers are pursuing participation in the current IRS offshore voluntary disclosure program (the OVDP which began in 2012), modeled […] Read More…

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Recissions of IRS OVDP Pre-Clearance Letters

Taxpayers participating in the IRS Offshore Voluntary Disclosure Program (OVDP – see www.irs.gov for OVPD information and guidance) generally agree to  an “FBAR-related” penalty (in lieu of all other potentially applicable penalties associated with a foreign financial account or entity) of 27.5% of the highest account value that existed at any time during the prior eight […] Read More…

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IRS FBAR Voluntary Disclosure Program, Opt-Out Considerations and Taxpayer Interviews

The IRS has operated four offshore voluntary disclosure programs (OVDP) since 2003 offering various incentives for taxpayers to disclose their offshore financial accounts and pay delinquent taxes, interest, and penalties. As of December 2012, the combined OVDPs resulted in more than 39,000 disclosures by taxpayers and over $5.5 billion in revenues received.[i] Beyond revenue generation, […] Read More…

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