Undisclosed Foreign Financial Assets

There are several options available for US taxpayers with undisclosed foreign financial assets offered by IRS. Due to the circumstances of taxpayers with non-US investments vary widely, IRS offers the following options to let taxpayers correct previous failures to comply with the US tax and information return obligations with respect to those undisclosed foreign investments:

Undisclosed Foreign Financial Assets
To comply with U.S. tax, the government provides several options to taxpayers who have foreign financial assets. Here are some options that the IRS offers to such taxpayers:
⦁ Offshore Voluntary Disclosure Program (OVDP)
The Offshore Voluntary Disclosure Program (OVDP) is a program that is designed for those taxpayers who have undisclosed foreign accounts and assets. The voluntary program allows taxpayers to save themselves from the civil penalties and criminal prosecution that comes with non-compliance. IRS offers multiple benefits to such taxpayers to disclose their foreign assets and accounts, such as a reduction in the penalty.
⦁ Streamlined Filing Compliance Procedures (Domestic Streamlined)
Streamline Filing Compliance Procedure is of two types: Domestic Streamlined for U.S. citizens and Foreign Streamlined for Americans living abroad.
The program is for such taxpayers who can certify that non-payment of the taxes was not willful and that they are willing to pay the tax as per the laws. The taxpayer may not be enough to certify the willfulness in the court, which is why you need a professional to handle the case for you.
An expert in tax and accountancy can help you in proving your willfulness in the court and help you pay your taxes in due time.
⦁ Delinquent FBAR Submission Procedures
Delinquent FBAR Submission Procedure is for those people who are taxpayers but have not filed taxes for the previous years. Note that, if a person is already contacted by the IRS or those facing a criminal or civil investigation by IRS are not eligible for this program.
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⦁ Report of Foreign Bank and Financial Accounts (FBAR)
A person who has signing authority over any type of financial account abroad that is also exceeding the threshold is required to file to the Department of Treatment every year as per the Bank Secrecy Act.