What happens when the DOJ accuses a Swiss bank of tax evasion?

They cooperate. At least that is what happened when the Department of Justice (DOJ) recently went after a Swiss bank accused of helping United States citizens hide assets and avoid tax obligations.

Details of the DOJ’s findings

The DOJ recently announced it entered a deferred prosecution agreement with HSBC Private Bank, a bank that operates in Switzerland. Essentially, this means the bank agrees to accept responsibility for the listed allegations and cooperate in the ongoing investigation with the Internal Revenue Service (IRS) as well as other federal agencies in exchange for the United States choosing not to move forward with prosecution against the bank.

The United States government accused the bank of hiding over $1 billion in undeclared assets for United States citizens. As part of the agreement, the bank admitted to assisting United States citizens in attempts to hide their assets from the IRS and agreed to pay the U.S. government $60 million. This amount is said to “represent the unpaid taxes” that resulted from the failure to report these assets.

More on the cooperation provision

Those who use foreign accounts are wise to learn from the cooperation provision contained within the deferred prosecution agreement. This provision requires officials at the bank provide information about United States related accounts within the bank. Bank officials who fail to do so could face additional charges.

United States citizens with foreign accounts are wise to take note. Foreign officials are sharing information about bank accounts held by those who owe taxes to the United States. Now is a good time to review the status of foreign accounts to better ensure compliance with United States tax laws.

No Comments

Leave a comment
Comment Information
Email Our Team

Contact Us to Get Started Today

Located in the Washington, D.C area, we serve clients in the District of Columbia, Maryland and Northern Virginia, as well as across the country and overseas. For a free initial consultation, call 202-381-1261 or complete our brief online form.

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

Six Convenient Office Locations in and around the DC Metropolitan Area

Washington, D.C.
1050 Connecticut Ave NW #500
Washington, D.C. 20036

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: 410-497-5947
Fax: 888-235-8405
Columbia Law Office Map

Annapolis Office
839 Bestgate Road
Suite 400
Annapolis, MD 21401

Phone: 202-618-1873
Phone: 410-497-5947
Fax: 888-235-8405
Annapolis Law Office Map

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

Phone: 202-618-1873
Phone: 703-988-4817
Fax: 888-235-8405
Fairfax Law Office Map

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

Phone: 202-618-1873
Phone: 240-599-5009
Fax: 888-235-8405
Rockville Law Office Map

Baltimore Office
400 East Pratt Street
8th Floor
Baltimore, MD 21202

Phone: 202-618-1873
Phone: 443-743-3381
Fax: 888-235-8405
Baltimore Law Office Map