Blog Archives: Audits & Tax Issues

IRS Data Collection
11/19/2014 - 11:12 AM
0 Comments

Much like the NSA, the IRS data collection machine is building a file on all Americans. It’s online now and will be ready to use in all audits within one year. The IRS collects more useful data on you than does the NSA and will begin making it available to auditors shortly. Some IRS data

Offshore IRS Audit
11/17/2014 - 8:40 AM
0 Comments

There’s no worse feeling in the world than coming home to a letter from the IRS telling you that you are being audited … until you get notice of an offshore IRS audit. No matter how organized you are, you should fear the great IRS. If you have unreported accounts or become the subject of

Impact of FATCA
11/12/2014 - 12:11 PM
0 Comments

Foreign Account Tax Compliance Act is finally here and you can be sure that the impact of FATCA will be severe. This brief article considers the impact of FATCA on Americans living, working, or investing overseas. FATCA is founded in a U.S. tax code that attacks small business and lavishes tax holidays on the wealthy

IRS Criminal Investigation
11/02/2014 - 1:00 PM
0 Comments

If you thought an IRS audit was bad news, just wait until the IRS agents with guns come and take you down.  The IRS Criminal Investigation Division, or CID, can seize your records, tap your phone, spy on your emails, and treat you like a major criminal – all for failing to pay up.  The

IRS Levy
10/27/2014 - 10:16 AM
0 Comments

The U.K. tax authority to allow IRS Levy type actions. If you owe the HMRC, they now have the authority to seize your bank account and raid your assets, just like an IRS levy. Now, it’s no surprise that the U.K. is following in the footsteps of the mighty IRS levy. It’s just interesting that

IRS Fees
09/22/2014 - 1:43 PM
0 Comments
By

If you have a tax debt, there are a number of IRS fees for setting up a payment plan or installment agreement. These IRS fees can add up quickly if you default and need to reapply. The IRS fee for setting up a payment plan on direct debit from your bank account is $52. This

Seize Your IRA
09/12/2014 - 10:00 AM
0 Comments

I want to use today’s post to clear up a common misconception. Yes, the IRS can seize your IRA or other retirement account. Yes, the great collector is exempt from state laws protecting your retirement account and can take what it wants at any time … unless you take steps to protect yourself. Specifically, the

IRS Collection Statute
08/11/2014 - 12:10 PM
0 Comments

A few days ago I wrote an article on dealing with the IRS as an expat.  Apparently, a number of you are carrying tax debt and are concerned with the IRS collection statute – how long the IRS has to collect that tax debt.  This article is specifically for those living abroad that owe the

IRS Audit Statute
08/08/2014 - 10:34 AM
0 Comments

For most Americans, the IRS audit statute, the amount of time the IRS has to come after you once you have filed your return, is three years.  Not so for those with foreign accounts and foreign assets.  In most cases, the IRS has six years to audit your international investments. First, let’s review the IRS

IRS Levy
07/09/2014 - 2:46 PM
0 Comments

If you are a U.S. citizen living abroad, you have the same rights and responsibilities when it comes to your expat tax debt as those stuck in America.  The IRS has ever increasing powers to collect on that expat tax debt, so it is in your best interest to get into compliance and make arrangements

Retire Abroad
07/07/2014 - 2:03 PM
0 Comments

If you have unreported offshore bank accounts or foreign assets, the IRS has one last best offer called the 2014 IRS Offshore Settlement Program.  Come forward and, if you are living offshore, pay no penalties.  If you are living in the U.S., pay only 5% for a fresh start. This, the third installment of the

Offshore Tax Fraud
07/02/2014 - 1:03 PM
0 Comments

If you are a U.S. citizen living, working or investing abroad, you need to understand the difference between Offshore Tax Fraud and International Tax Planning.  Offshore Tax Fraud is a crime while tax planning is the proper use of the U.S. tax code to minimize your taxes.  There are many benefits to going offshore, but

Currency Transaction Report
06/26/2014 - 12:46 PM
0 Comments

Today I’m taking time out from my offshore beat to warn you about the CTR.  An IRS Currency Transaction Report is a form filed by U.S. banks and casinos each time you make a deposit or withdrawal of $10,000 or more.  It is filed in secret, without your knowledge, you don’t receive a copy, and

Cheap offshore Company
06/16/2014 - 6:00 AM
0 Comments

Are you considering forming a cheap offshore company?  Has some scammer in Nevis promised you tax freedom and privacy?  Forming a cheap offshore company that does not include U.S. tax compliance is a roadmap to disaster for the American living, working or investing abroad. How much would you be looking at in penalties for using

Retire Abroad
03/28/2014 - 4:19 AM
0 Comments

As you, the American with investments abroad, get ready to prepare your 2014 tax return, there are important new FBAR filing requirements for 2014. Some of these FBAR filing requirements are cosmetic and others could get the misinformed in hot water. Note: If you have no idea what an FBAR is, you might check out

Give Up US Citizenship
03/26/2014 - 6:04 AM
0 Comments

Record numbers of Americans gave up US citizenship in 2013. As the IRS mafia becomes ever more hostile to its citizenry, Americans give up US citizenship in record numbers. In 2013, 3,000 Americans lined up at embassies around the world to renounce their citizenship and get Uncle Sam out of their pockets for good. This is

US Person for tax purposes
03/10/2014 - 4:13 PM
0 Comments

Who must pay US taxes you ask? Who is a US person for tax purposes? Who is in the crosshairs of the IRS? The answer is not quite as simple as you may think…and something that confuses many people living and operating a business in the US. Who is a U.S person for tax reporting