International tax attorneys and CPAs specializing in FATCA filing and counseling
If you are aware of any FATCA (Foreign Account Tax Compliance Act) issues involved with your foreign assets, or have concerns about your FATCA compliance, our FATCA compliance experts will help you get in good standing with IRS FATCA regulations now, and for the life of your offshore investments.
Foreign Account Tax Compliance Act (FATCA) was established in 2010 to regulate how U.S. taxpayers with foreign assets and financial institutions report their foreign financial assets to the IRS.
Specifically, FATCA requires the following:
- Individuals: Must attach form 8938 (Statement of Specified Foreign Financial Assets) to their tax return if total value of foreign assets exceed $50,000. (irs.gov)
- Foreign Financial Institutions: That enter into an agreement with the IRS must report certain information to the IRS regarding assets with U.S. owners. (irs.gov)
Types of foreign assets reportable under FATCA:
- Bank accounts held at a foreign financial institution (FFI)
- Bank accounts held at a foreign branch of a U.S. financial institution
- Stocks and securities accounts
- Commodity futures or options accounts
- Insurance policies with a cash value
- Mutual funds or similar pooled funds
- Contracts or interests in foreign financial assets through an entity
Is your Foreign Financial Institution under FATCA jurisdiction?
Visit our FATCA Resource page to see which countries are subject to FATCA regulations
Penalties for FATCA Delinquency (late or improper filing)
If you own offshore accounts or investments of any kind, and have failed to, or improperly filed form 8938 with your tax return, you are at risk of imposed penalties and criminal examination by the IRS. In addition, if your FFI is not compliant with FATCA by not disclosing the required information, the FFI faces a 30% withholding tax on payments/deposits U.S. account holders make to them.
Penalties for FATCA Violations:
- Up to $10,000 for failure to disclose the required FATCA information
- An additional $10,000 for each 30 days of non-filing of form 8938 (after receiving failure of disclosure notice from IRS)
- Potential maximum penalty of $60,000
- Potential criminal penalties for certain cases
FATCA laws, and the different parties involved, can create a very ominous situation for U.S. taxpayers with foreign accounts or investments. Our team of licensed International Tax Attorneys and CPAs are experienced in understanding FATCA guidelines, and making sure our clients and their FFI are in good standing with FATCA laws.
Professional FATCA Compliance and Counseling for U.S. Taxpayers
As outlined above, proper FATCA reporting is paramount to maintain compliance and avoid substantial penalties. Contact our FATCA compliance experts today and we'll take the following steps to formulate a comprehensive strategy for you:
FATCA Evaluation - Contact our office 7 days a week to speak directly with our President, Tim Halcomb. He will schedule a time at your convenience to conduct a conference with you and our team of international tax specialists. We will gather and evaluate the information necessary to construct a FATCA compliance strategy.
Cultivate Data - When you retain our services, our team of International Tax Attorneys and CPAs will being immediately contacting all respective Government and FFI authorities to obtain the necessary records relevant to your case.
Action Strategy - Once we collect and organize all pertinent information, we will perform a personalized strategy to address your FATCA compliance issues. We will keep your personal information 100% confidential as we rectify your FATCA compliance status with the IRS. Our team of international tax professionals will keep you up-to-date on the progress of your case, from start to finish.