Frost & Associates, Attorneys at Law
Call Today 202-618-1873

Ex-banker for Credit Suisse pleads guilty as offshore crackdown continues

One by one, the giants of Swiss banking have fallen. They have been forced to submit to the long-running American enforcement crackdown on offshore accounts.

That crackdown is not only long-running; the standards for compliance have been stepped up since Congress passed the Foreign Account Tax Compliance Act (FATCA) in 2010.

The first Swiss giant to fall was UBS. In 2009, the company paid $780 to resolve charges of helping U.S. evade U.S. taxes through foreign accounts. More recently, Credit Suisse Group AG paid $2.6 billion as a result of similar charges.

The ripple effects from big cases like these continue to unfold in the offshore banking community. This week, a former bank for Credit Suisse pleaded guilty to criminal tax charges.

The former banker is an Italian citizen and Swiss resident who managed accounts for U.S. taxpayers with Credit Suisse from 2002 to 2009. In this role, he conspired to conceal foreign accounts held by U.S. taxpayers.

This cost the U.S. more than $1.5 million in tax revenue. The former banker now faces a prison sentence of up to 5 years for this conduct.

To be sure, U.S. authorities don’t win them all when bringing offshore tax evasion prosecutions. For example, a former UBS banker gained an acquittal on tax evasion charges.

Overall, however, the trend line is clear. U.S. taxpayers with foreign accounts continue to face an enforcement crackdown and enhanced reporting requirements due to FATCA. This has made compliance more difficult and the possibility of civil or criminal charges all too real.

Concluding note: If you have not filed your Report of Foreign Bank and Financial Accounts (FBAR or FinCEN Form 114), you have until June 30 to do so. See our June 12 post for more information.

No Comments

Leave a comment
Comment Information
Every Tax Problem Has A Solution

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Contact us today!

Frost & Associates, Attorneys at Law
1629 K Street NW
Suite 300
Washington, D.C. 20006

Phone: 202-618-1873
Phone: 202-618-1873
Fax: 888-235-8405
Washington Law Office Map

Columbia Office
10440 Little Patuxent Parkway
Suite 300
Columbia, MD 21044

Phone: 202-618-1873
Phone: 202-618-1873
Fax: 888-235-8405
Columbia Law Office Map

Annapolis Office
888 Bestgate Road
Suite 400
Annapolis, MD 21401

Phone: 202-618-1873
Phone: 202-618-1873
Fax: 888-235-8405
Map & Directions

Fairfax Office
8280 Willow Oaks Corporate Drive
Suite 600
Fairfax, VA 22031

Phone: 202-618-1873
Phone: 703-621-7169
Fax: 888-235-8405
Map & Directions

Rockville Office
199 E. Montgomery Avenue
Suite 100
Rockville, MD 20850

Phone: 202-618-1873
Phone: 240-599-5009
Fax: 888-235-8405
Map & Directions

Google+
Find us on...
  • Facebook
  • Twitter
  • Linked In