The investigation into allegations of Russian interference in the 2016 presidential election has led to allegations of United States tax violations. One example is the recent indictment of President Donald Trump’s former campaign chairman, Paul Manafort. Mr. Manafort is accused of using shell companies to hide assets and avoid tax obligations.
The Internal Revenue Service (IRS) is in the midst of a lawsuit against cryptocurrency provider Coinbase. The agency is attempting to gain information about those who use Coinbase, claiming that there is a high likelihood that these users are guilty of various tax crimes.
Even expats have certain tax obligations. A failure to meet these obligations can result in a range of penalties. Depending on the details of the issue, penalties can include fines or even criminal charges and revocation of your U.S. passport.
The financial world is evolving. This is not the first time the economy has shifted its focus. The focus has shifted in the past from one that depends on gold as currency to paper dollars to credit cards. The shift is now moving to the novel world of digital currency.
In terms of sheer revenue generated, limited-amnesty programs for noncompliance with offshore reporting requirements has been tremendously successful for the IRS. Since the IRS started these initiatives in 2009, the amount of revenue generated in fines, penalties and back taxes is upwards of $10 billion.
Late last month Treasury Secretary Steven Mnuchin announced what he said was one of the largest sanctions actions every taken by Treasury's Office of Foreign Assets Control (OFAC).
In recent posts, we've explored how maintaining compliance with rules for offshore accounts has become increasingly burdensome in recent years. These burdens include stepped-up enforcement of existing requirements and the implementation of a complicated new law, the Foreign Account Tax Compliance Act (FATCA).
The IRS has been remarkably successful in getting people to enter its limited-amnesty program for undisclosed offshore accounts.
Every year, millions of taxpayers receive a computer-generated notice from the IRS about (supposedly) underreported income.
"Fudge" is a peculiar word. As a noun, it refers to a soft, creamy candy or, more generally, to foolish nonsense. As a verb, it means to fake or falsify something, or to bend the rules.