Monday, October 31, 2016

Streamlined Processing of Installment Agreements

The IRS is testing expanded criteria for streamlined processing of taxpayer requests for installment agreements. The test is scheduled to run through September 30, 2017.

During this test, more taxpayers will qualify to have their installment agreement request processed in a streamlined manner. Based on test results, the expanded criteria for streamlined processing of installment agreement requests may be made permanent.

During the test, expanded criteria for streamlined processing will be applied to installment agreement requests submitted to SB/SE Campus Collection Operations, this includes the Automated Collection System (ACS). Expanded criteria will not be applied to installment agreement requests submitted to W&I Accounts Management, SB/SE Field Collection or through the Online Payment Agreement application.

One expanded criterion being tested immediately is this: Individual taxpayers with an assessed balance of tax, penalty and interest between $50,000 and $100,000 may experience accelerated processing of their installment agreement request. This will occur if the taxpayers' proposed monthly payment is the greater of their total assessed balance divided by 84 – or – the amount necessary to fully satisfy the liability by the Collection Statute Expiration Date.

 Want An Installment Payment Plan?

Contact the Tax Lawyers at
Marini & Associates, P.A.
 for a FREE Tax Consultation Contact US at
or Toll Free at 888-8TaxAid (888 882-9243).



Monday, October 24, 2016

IRS Nets $10 Billion From > 100,000 Taxpayers in the OVDP Programs

The IRS in news release IIR 2016-137 highlighted the accomplishments of its Offshore Voluntary Disclosure Program (OVDP) and encouraged taxpayers with undisclosed offshore accounts to come into compliance with the federal tax obligations. The OVDP and streamlined compliance programs have been used to bring over 100,000 taxpayers into compliance and have brought in over $10 billion in taxes, interest, and penalties.
In IR 2016-137, IRS stated that: 
  • 55,800 taxpayers have used the OVDP to resolve their tax obligations, paying more than $9.9 billion in taxes, interest, and penalties since 2009.
  • In addition, 48,000 taxpayers have used separate streamlined filing procedures to correct prior non-willful omissions and meet their federal tax obligations, paying approximately $450 million in taxes, interest, and penalties.
Combined, this adds up to over $10 billion collected and over 100,000 taxpayers coming into compliance.
“As We Continue to Receive More Information on Foreign Accounts, People's Ability to Avoid Detection Becomes
Harder and Harder,” said IRS Commissioner John Koskinen. “
The IRS continues to urge those people with international tax issues to come forward to meet their tax obligations.”

Form Updates

The IRS recently revised the certification forms used for the Streamlined Filing Compliance Procedures. The most current versions of Forms 14653 and 14654 are available on

OVDP Hotline

Commonly used telephone numbers relating to the Offshore Voluntary Disclosure Program (OVDP) and the Streamlined Filing Compliance Procedures have also changed.

The new phone number for the OVDP Hotline is 1 (267) 466-0020. Taxpayers or their representatives with procedural questions concerning the OVDP or the Streamlined Filing Compliance Procedures should use this new telephone number for the OVDP Hotline.

The Criminal Investigation Lead Development Center (LDC) has a new fax number. LDC’s new fax number is 1 (267) 466-1115. Taxpayers or their representatives wishing to fax preclearance requests to the LDC should use this new fax number. Additionally, taxpayers or their representatives with questions concerning preclearance should call Criminal Investigation at 1 (267) 466-1607.
Do You Have Undeclared Offshore Income?
Is Your Name Being Handed Over to the IRS?
Want to Know if the OVDP Program is Right for You?
Contact the Tax Lawyers at 
Marini& Associates, P.A.  
for a FREE Tax Consultation
Toll Free at 888-8TaxAid (888) 882-9243

Friday, October 21, 2016

IRS Provides Legal Advice on When Data Exchange With Foreign Countries is Confidential

In Legal Advice Issued by Associate Chief Counsel 2016-004, the IRS has given its opinion on the exact moment when information that it provides to and receives from foreign tax administrations via the Organization for Economic Cooperation and Development's Common Transmission System becomes protected under the Code's confidentiality rules. Legal Advice Issued by Associate Chief Counsel 2016-004.
In light of recent global developments in the areas of transparency and exchange of
information, and recognizing that automatic exchanges of information between tax administrations will likely increase over the coming years, the OECD is developing a
common system for transmissions of data between governments.
The projected increase in the number of automatic exchanges of information is due, in large part, to the OECD’s “Standard for Automatic Exchange of Financial Account Information in Tax Matters” (a/k/a, “Common Reporting Standard” or “CRS”), which provides for automatic exchanges of financial account information, and the output of Action Plan 13 of the OECD’s Base Erosion and Profit Shifting (BEPS) Project, which calls for automatic exchanges of “country-by-country” reports.
The development of a common solution for the transmission of data in the form of the CTS was viewed by the OECD as well as member jurisdictions of the FTA as an efficient and economically beneficial way to accommodate the global needs in the area of automatic exchange of information.

We have been asked to opine on the moment during the exchange of information via the CTS when information becomes protected under the various sources of statutory and tax convention protection from disclosure.

Returns, return information, and tax convention information are categories of information related to taxes that are generally protected from disclosure under Internal Revenue Code sections 6103 and 6105. Data transmitted via the CTS will fall within one or more of these categories. In addition, the language of the United States’ bilateral and multilateral tax conventions, tax information exchange agreements, as well as intergovernmental agreements concerning the implementation of FATCA all contain provisions concerning the obligation to protect covered information from disclosure.

Briefly, information that will be transmitted by the IRS to foreign tax administrations (outbound transmissions) through the CTS is return information under section 6103 in
the hands of the IRS, so throughout the exchange process should be protected as required by section 6103. Furthermore, that information becomes treaty-protected information in the hands of the foreign country when the information is exchanged pursuant to a tax convention or other international agreement on taxes.

In the case of information provided to the IRS by foreign tax administrations (inbound transmissions) through the CTS, the moment when legal protection arises is less certain. While there are two moments when legal protection could arise in an inbound transmission (i.e., the moment information is uploaded to the CTS by the foreign tax authority, and the moment when the United States downloads the information from the CTS), we believe the most likely moment is when the United States downloads the information from CTS.

There is no direct authority regarding the precise moment legal protection arises. However, close reading of the various statutory and tax convention language, as well as related court decisions seem to indicate that protection will not arise until the information is actually held by the IRS.

As discussed in this advice, the CTS is different from the International Data Exchange Service (IDES), which is a system funded, designed, and managed by the IRS. In a prior memorandum, we concluded that information transmitted via IDES by a foreign jurisdiction to the United States would most likely be treated as gaining section 6103protection upon upload to IDES. The CTS is not a U.S.-designed system. The OECD, and not the IRS, will negotiate the agreement with the CTS vendor; and the costs associated with the development and operation of the CTS will be borne by all users globally and not just by the IRS.
Therefore, our view is that with regard to information transmitted to the IRS through the CTS, section 6103 protection arises when the information is downloaded by the IRS. It is our understanding that if the IRS adopts the CTS, as a matter of convenience to the IRS, the IRS will continue to use IDES as a regional router in order to facilitate exchanges of information via the CTS. Therefore, with regard to inbound transmissions to the IRS, section 6103 protection arises when the information is uploaded from the CTS to IDES.

Furthermore, we believe section 6105 and treaty protections are likely to follow the conclusion under section 6103. In other words, with regard to inbound transmissions to
the IRS, the protection under section 6105 and tax conventions arise, not when the data
is uploaded to the CTS by the foreign tax administration, but only when the data is uploaded to IDES from the CTS.

 Have a Tax Problem? 

Contact the Tax Lawyers at
Marini & Associates, P.A.
 for a FREE Tax Consultation Contact US at
or Toll Free at 888-8TaxAid (888 882-9243).



Taxpayers Abilility to use Partnerships for Tax Planning Limited by the IRS' Disguised Sale Regulations

According to Law360  the Internal Revenue Service’s recently issued regulations governing the tax treatment of disguised property sales within partnerships are expected to reduce flexibility for businesses in how they manage debt and close certain tax planning avenues for managing losses and liabilities.

The agency
released its final rules this month, nearly three years after first proposing them in January 2014, to clarify ambiguities in how disguised property sales between individuals in partnerships will be treated and how distributions that reimburse partners for the partnership’s borrowing should be handled.

While a partner's property contributions to a partnership are generally tax-free, if such a transfer can be characterized as a sale or exchange of property, it is considered to be a disguised sale of property and is taxable.

Under the old rules, a transaction in which a partner contributed property to a partnership, and the partnership made distributions to the partner from borrowed money, was not considered a taxable disguised sale if the distribution was the same as the partner’s share of debt.
Have a Tax Problem? 

Contact the Tax Lawyers at
Marini & Associates, P.A.
 for a FREE Tax Consultation Contact US at
or Toll Free at 888-8TaxAid (888 882-9243).

Court Found Tax Lawyer Not Liable for Malpractice Suit Over $9.5M IRS Debt

Tax Firm Ducks Malpractice Suit Over $9.5M IRS Debt preview imageAccording to Law360, An Oklahoma federal judge found insufficient evidence Thursday to keep alive a cellphone retailer's lawsuit accusing his former tax lawyer of negligently allowing a $2.1 million tax debt to balloon to $9.5 million, tossing the suit because it didn't show the outcome could have been any different.

U.S. District Judge Robin J. Cauthron threw out the lawsuit against Travis W. Watkins and the law firm that bears his name because Cricket Wireless cellular store operator Camron McAllister hadn't shown the necessary “but for,” where he would have gotten a favorable outcome from the Internal Revenue Service if it weren't for Watkins' allegedly shoddy work.

Have a Tax Problem? 

Contact the Tax Lawyers at
Marini & Associates, P.A.
 for a FREE Tax Consultation Contact US at
or Toll Free at 888-8TaxAid (888 882-9243).

Tuesday, October 18, 2016

The President That You Elect Could Impact Your Estate Taxes

During my 30+ years as a senior attorney at the IRS and my subsequent career as a tax consultant, I have see an ongoing struggle over the rate of tax to be imposed on estates.  Generally this ebb and flow has pitted Republican party attempts to eliminate the estate tax vs. the Democratic party's attempts to increase the estate tax rate. 

The peripheral battle has seen many of the traditional "shelters" lost but offset in many ways by the unlimited marital deduction and the graduated $5.4 credit shelter and portability.  Additionally the Congress imposed a generation skipping tax to prevent extremely wealthy families from escaping estate tax in successive generations. 

What is on the horizon as we enter the last weeks before the presidential election? I am not sure that I have seen an exact plan for the estate tax's future if the Republicans prevail but Candidate Clinton has discussed raising the maximum rate to 65% with additional brackets at 45%, 50%, 55%, and 60% along the way. 

        Clinton Tax Plan
Hillary Clinton proposes raising taxes
on high-income taxpayers, modifying
taxation of multinational corporations, repealing fossil fuel tax incentives, and increasing estate and gift taxes.

His plan would significantly reduce marginal tax rates on individuals and businesses, increase standard deduction amounts to nearly four times current levels, and curtail many tax expenditures.  

This coupled with the attack on Section 2704 FLP discounts will mean that virtually every family of substantial wealth will have a serious dent put in its attempt to pass wealth from one generation to the next.  See our post Do You Have a FLP or LLC With Valuation Discounts? You Better Talk With Your Tax Advisor!
This factual pattern should alert the most skillful of estate planners to create new techniques to offset this impending increase in estate tax rates.

For more details see our previous post Time to Compare Candidate's Tax Plans Again! where we discussed Hillary's plan for Restoring fair taxation on multi-million dollar estates

 Have a US Estate Tax Problem?

Estate Tax Problems Require
an Experienced Estate Tax Attorney

Contact the Tax Lawyers at
Marini & Associates, P.A.
 for a FREE Tax Consultation Contact US at
or Toll Free at 888-8TaxAid (888 882-9243).
Robert S. Blumenfeld  - 
 Estate Tax Counsel
Mr. Blumenfeld concentrates his practice in the areas of International Tax and Estate Planning, Probate Law, and Representation of Resident and Non-Resident Aliens before the IRS.

Prior to joining Marini & Associates, P.A., he spent 32 years as the Senior Attorney with the Internal Revenue Service (IRS), Office of Deputy Commissioner, International.
While with the IRS, he examined approximately 2,000 Estate Tax Returns and litigated various international and tax issues associated with these returns.As a result of his experience, he has extensive knowledge of the issues associated with and the preparation of U.S. Estate Tax Returns for Resident and Non-Resident Aliens, Gift Tax Returns, Form 706QDT and Qualified Domestic Trusts.


Saturday, October 15, 2016

144 Offshore Banks & Now Financial Advisors Are Turning Over Your Names To The IRS - What Are Your Waiting For?

 On May 26, 2016 we posted 97 Offshore Banks Are Turning Over Your Names To The IRS - What Are Your Waiting For? and since then the Government has add 47 more Banks and FINANCIAL ADVISORS to this list bringing the number to 144 Offshore Banks and Foreign Financial Advisors.

The IRS keeps updating its list of foreign banks which are turning over the names of their US Account Holders, who are now subject to a 50% (rather than 27.5%) penalty in the IRS’s Offshore Voluntary Disclosure Program (OVDP). This penalty is based on the highest account balance measured over up to eight years. 

Under the program, banks are required to:
  • Make a complete disclosure of their cross-border activities;
  • Provide detailed information on an account-by-account basis for accounts in which U.S. taxpayers have a direct or indirect interest;
  • Cooperate in treaty requests for account information;
  • Provide detailed information as to other banks that transferred funds into secret accounts or that accepted funds when secret accounts were closed;
  • Agree to close accounts of account holders who fail to come into compliance with U.S. reporting obligations; and
  • Pay appropriate penalties.
These Banks, Financial Instructions and Foreign Financial Advisors  have made substantial efforts to cooperate with the IRS investigation, including by:
  1. facilitating interviews that their Office with employees, including top level executives;
  2. voluntarily producing documents in response to the Office’s requests;
  3. providing, in response to a treaty request, unredacted client files for the U.S. taxpayer-clients who maintained accounts at their Banks or Financial Instruction; and
  4. committing to assist in responding to a treaty request that is expected to result in the production of un-redacted client files for U.S. taxpayer-clients who maintained accounts at these Banks and Financial Instructions and with these Foreign Financial Advisors. 
The complete list of Offshore Banks and Foreign Financial Advisors who are turning over the names of their US Account Holders, who are now subject to a 50% (rather than 27.5%) penalty in the IRS’s Offshore Voluntary Disclosure Program (OVDP)is as of 11/15/16
  1. UBS AG
  2. Credit Suisse AG, Credit Suisse Fides, and Clariden Leu Ltd.
  3. Wegelin & Co.
  4. Liechtensteinische Landesbank AG
  5. Zurcher Kantonalbank
  6. swisspartners Investment Network AG, swisspartners Wealth Management AG, swisspartners Insurance Company SPC Ltd., and swisspartners Versicherung AG
  7. CIBC FirstCaribbean International Bank Limited, its predecessors, subsidiaries, and affiliates
  8. Stanford International Bank, Ltd., Stanford Group Company, and Stanford Trust Company, Ltd.
  9. The Hong Kong and Shanghai Banking Corporation Limited in India (HSBC India)
  10. The Bank of N.T. Butterfield & Son Limited (also known as Butterfield Bank and Bank of Butterfield), its predecessors, subsidiaries, and affiliates
  11. Sovereign Management & Legal, Ltd., its predecessors, subsidiaries, and affiliates (effective 12/19/14)
  12. Bank Leumi le-Israel B.M., The Bank Leumi le-Israel Trust Company Ltd, Bank Leumi (Luxembourg) S.A., Leumi Private Bank S.A., and Bank Leumi USA (effective 12/22/14)
  13. BSI SA (effective 3/30/15)
  14. Vadian Bank AG (effective 5/8/15)
  15. Finter Bank Zurich AG (effective 5/15/15)  
  16. Societe Generale Private Banking (Lugano-Svizzera) SA (effective 5/28/15)
  17. MediBank AG (effective 5/28/15)
  18. LBBW (Schweiz) AG (effective 5/28/15)
  19. Scobag Privatbank AG (effective 5/28/15)  
  20. Rothschild Bank AG (effective 6/3/15)
  21. Banca Credinvest SA (effective 6/3/15)
  22. Societe Generale Private Banking (Suisse) SA (effective 6/9/15)
  23. Berner Kantonalbank AG (effective 6/9/15)
  24. Bank Linth LLB AG (effective 6/19/15)
  25. Bank Sparhafen Zurich AG (effective 6/19/15)
  26. Ersparniskasse Schaffhausen AG (effective 6/26/15)
  27. Privatbank Von Graffenried AG (effective 7/2/15)
  28. Banque Pasche SA (effective 7/9/15)
  29. ARVEST Privatbank AG (effective 7/9/15)
  30. Mercantil Bank (Schweiz) AG (effective 7/16/15)
  31. Banque Cantonale Neuchateloise (effective 7/16/15)
  32. Nidwaldner Kantonalbank (effective 7/16/15)
  33. SB Saanen Bank AG (effective 7/23/15)
  34. Privatbank Bellerive AG (effective 7/23/15)
  35. PKB Privatbank AG (effective 7/30/15)
  36. Falcon Private Bank AG (effective 7/30/15)
  37. Credito Privato Commerciale in liquidazione SA (effective 7/30/15)
  38. Bank EKI Genossenschaft (effective 8/3/15)
  39. Privatbank Reichmuth & Co. (effective 8/6/15)
  40. Banque Cantonale du Jura SA (effective 8/6/15)
  41. Banca Intermobiliare di Investimenti e Gestioni (Suisse) SA (effective 8/6/15)  
  42. bank zweiplus ag (effective 8/20/15)
  43. Banca dello Stato del Cantone Ticino (effective 8/20/15)
  44. Hypothekarbank Lenzburg AG (effective 8/27/15)
  45. Schroder & Co. Bank AG (effective 9/3/15)
  46. Valiant Bank AG (effective 9/10/15)
  47. Bank La Roche & Co AG (effective 9/15/15)
  48. Belize Bank International Limited, Belize Bank Limited, Belize Corporate Services Limited, their predecessors, subsidiaries, and affiliates (effective 9/16/15)
  49. St. Galler Kantonalbank AG (effective 9/17/15)
  50. E. Gutzwiller & Cie, Banquiers (effective 9/17/15)
  51. Migros Bank AG (effective 9/25/15)
  52. Graubundner Katonalbank (effective 9/25/15)
  53. BHF-Bank (Schweiz) AG (effective 10/1/15)
  54. Finacor SA (effective 10/6/15)
  55. Schaffhauser Kantonalbank (effective 10/8/15)
  56. BBVA Suiza S.A. (effective 10/16/15)
  57. Piguet Galland & Cie SA (effective 10/23/15)
  58. Luzerner Kantonalbank AG (effective 10/29/15)
  59. Habib Bank AG Zurich (effective 10/29/15)
  60. Banque Heritage SA (effective 10/29/15)
  61. Hyposwiss Private Bank Genève S.A. (effective 10/29/15)
  62. Banque Bonhôte & Cie SA (effective 11/3/15)
  63. Banque Internationale a Luxembourg (Suisse) SA (effective 11/12/15)
  64. Zuger Kantonalbank (effective 11/12/15)
  65. Standard Chartered Bank (Switzerland) SA, en liquidation (effective 11/13/15)
  66. Maerki Baumann & Co. AG (effective 11/17/15)
  67. BNP Paribas (Suisse) SA (effective 11/19/15)
  68. KBL (Switzerland) Ltd. (effective 11/19/15)
  69. Bank CIC (Switzerland) Ltd. (effective 11/19/15)
  70. Privatbank IHAG Zürich AG (effective 11/24/15)
  71. Deutsche Bank (Suisse) SA (effective 11/24/15)
  72. EFG Bank AG (effective 12/3/15)
  73. EFG Bank European Financial Group SA, Geneva (effective 12/3/15)
  74. Aargauische Kantonalbank (effective 12/8/15)
  75. Cornèr Banca SA (effective 12/10/15)
  76. Bank Coop AG (effective 12/10/15)
  77. Crédit Agricole (Suisse) SA (effective 12/15/15)
  78. Dreyfus Sons & Co Ltd, Banquiers (effective 12/15/15)
  79. Baumann & Cie, Banquiers (effective 12/15/15)
  80. Bordier & Cie Switzerland (effective 12/17/15)
  81. PBZ Verwaltungs AG (effective 12/17/15)
  82. PostFinance AG (effective 12/17/15)
  83. Edmond de Rothschild (Suisse) SA (effective 12/18/15)
  84. Edmond de Rothschild (Lugano) SA (effective 12/18/15)
  85. Bank J. Safra Sarasin AG (effective 12/23/15)
  86. Coutts & Co Ltd (effective 12/23/15)
  87. Gonet & Cie (effective 12/23/15)
  88. Banque Cantonal du Valais (effective 12/23/15)
  89. Banque Cantonale Vaudoise (effective 12/23/15)
  90. Bank Lombard Odier & Co Ltd (effective 12/31/15)
  91. DZ Privatbank (Schweiz) AG (effective 12/31/15)
  92. Union Bancaire Privée , USP SA (effective 1/6/16)
  93. PHZ Privat - und Handelsbank Zürich AG reorganized as Leodan Privatbank AG (effective 1/25/16)
  94. Hyposwiss Privatbank AG reorganized as HSZH Verwaltungs AG (effective 1/27/16)
  95. Bank Julius Baer & Co., Ltd (effective 2/4/16)
  96. Cayman National Securities Ltd. (effective 3/9/16)
  97. Cayman National Trust Co. Ltd. (effective 3/9/16)
  98. Bradley Birkenfeld (effective 11/15/16)
  99. Renzo Gadola (effective 11/15/16)
  100. Martin Lack (effective 11/15/16)
  101. Christos Bagios (effective 11/15/16)
  102. Joshua Vandyk (effective 11/15/16)
  103. Eric St-Cyr (effective 11/15/16)
  104. Patrick Poulin (effective 11/15/16)
  105. Andreas Bachmann (effective 11/15/16)
  106. Josef Dörig (effective 11/15/16)
  107. David Kalai and Nadav Kalai (effective 11/15/16)
  108. David Almog (effective 11/15/16)
  109. Hansruedi Schumacher (effective 11/15/16)
  110. Matthias Rickenbach (effective 11/15/16)
  111. Cem Can (effective 11/15/16)
  112. IPC Management Services, LLC (effective 11/15/16)
  113. IPC Corporate Services Inc. (effective 11/15/16)
  114. IPC Corporate Services LLC (effective 11/15/16)
  115. Titan International Securities, Inc. (effective 11/15/16)
  116. Legacy Global Markets S.A. (effective 11/15/16)
  117. Unicorn International Securities LLC (effective 11/15/16)
  118. Andrew Godfrey (effective 11/15/16)
  119. Michael Little (effective 11/15/16)
  120. Edgar Paltzer (effective 11/15/16)
  121. Peter Amrein (effective 11/15/16)
  122. Daniela Casadei (effective 11/15/16)
  123. Fabio Frazzetto (effective 11/15/16)
  124. Michele Bergantino (effective 11/15/16)
  125. Mario Staggl (effective 11/15/16)
  126. Beda Singenberger (effective 11/15/16)
  127. Gian Gisler (effective 11/15/16)
  128. Felix M. Mathis (effective 11/15/16)
  129. Michael Berlinka (effective 11/15/16)
  130. Urs Frei (effective 11/15/16)
  131. Roger Keller (effective 11/15/16)
  132. Josef Beck (effective 11/15/16)
  133. Hans Thomann (effective 11/15/16)
  134. Stephan Fellmann (effective 11/15/16)
  135. Otto Huppi (effective 11/15/16)
  136. Christof Reist (effective 11/15/16)
  137. Stefan Buck (effective 11/15/16)
  138. Marco Parenti Adami (effective 11/15/16)
  139. Emanuel Agustino (effective 11/15/16)
  140. Roger Schaerer (effective 11/15/16)
  141. Markus Walder (effective 11/15/16)
  142. Susanne D. Rüegg Meier (effective 11/15/16)
  143. Martin Dunki (effective 11/15/16)
  144. Robert Bandfield (effective 11/15/16)
Outside of these banks and financial advisors, the norm within the OVDP remains 27.5%. That is far better than prosecution or much bigger civil penalties. Some taxpayers, including taxpayers with accounts at one of the 144 Foreign Banks and Financial Advisors listed above can opt for the easier and less costly Streamlined program. This list does not impact the Streamlined programs because you must be non-willful to qualify. All of this is part of the June 2014 improvements to the OVDP, which sparked new interest in cleaning up offshore accounts.
  1. With roughly 144 Foreign Banks and Financial Advisors cooperating with the DOJ & IRS and 
  2. FATCA requiring the entire world to report to the IRS
it is INEVITABLE that this increased disclosure, will result in EVERY AMERICAN eventually being discovered. Banks worldwide want to know if there US clients are compliant with the IRS.
Within the OVDP, people who Pre-Cleared
Before the various Effective  Dates
are generally Safe From the Higher 50% Penalty.
As additional banks are added to the list, only those American taxpayers that request pre-clearance before their bank is listed, will get the 27 1/2% OVDP penalty. The 50% penalty now applies to all taxpayers with accounts at financial institutions or with facilitators which are named, are cooperating or are identified in a court filing such as a John Doe summons.
Although the 50% penalty is high, willful civil violations can result in tax, penalties and interest totaling 325% of the highest balance in the account for the  most recent six years period. Recent guidance suggests that the IRS could be more lenient in the future, but the IRS’s definition of leniency can still make the OVDP a very good deal that provides certainty.  
Do You Have Undeclared Income from one of 
these Offshore Banks or
  Financial Advisors?
Is Your Name Being Handed Over to the IRS?
Want to Know if the OVDP Program is Right for You?
Contact the Tax Lawyers at 
Marini& Associates, P.A.  
for a FREE Tax Consultation
Toll Free at 888-8TaxAid (888) 882-9243