UPDATE 2016: The 2012 Streamlined Program has been, fortunately replaced with one with far more favorable rules. Learn more about the new program in here.
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The information below is out of date, but presented as proof of actual improvement IRS procedures.
Wallingford, Conn. – September 20, 2012 – Anthony Parent, founder of IRS Medic, recently wrote an article discussing a new IRS streamlined OVDI program to the IRS Offshore Disclosure Initiatives (OVDI), titled “Streamlined OVDI promises uncertain relief for few” Mr. Parent discusses the serious limitations to the this program. Anthony has strong words for the Streamlined Initiative “As someone who works on OVDI cases every day, and the actual facts on a huge sample of cases, it is my opinion that this streamlined process is close to a waste of time. There are four reasons:
- First, this streamlined process hardly addresses the vast majority of innocent non-compliant offshore accounts holders who tried their best.
- Second, it has the potential to reward those who made no attempts at compliance while punishing those who did.
- Third, it only applies to expatriates or “inadvertent” US citizens.
- Lastly, the guidance is so vague and uncertain, that is is foolhardy to recommend this program except to very, very few.”
The bad news for most offshore accounts holders is that they need to use the standard 2012 OVDI process, which is cumbersome, however, it provides certainty from criminal prosecution, something the streamlined OVDI fails to do, explains Anthony. "This streamlined OVDI is so bad, to me it seem a political ruse — to make it look like the IRS is being more reasonable, when in fact, the limitations on the streamlined OVDI are so vast, virtually everyone is foreclosed from using it."
Anthony Parent is the founder of IRSMedic, and managing partner of Parent & Parent LLP, a boutique tax law firm dedicated to working with those with IRS issues and disputes. He is routinely quoted on tax issues in the local and national media, mostly recently in the Wall Street Journal, Smartmoney.com, Wall Street radio, Fox CT and the Hartford Business Journal along with NBC, CBS, ABC and Fox affiliates around the country. He is a co-author of the business best seller, "Protect & Defend."
More about Anthony Parent: Anthony works primarily on cases involving difficult tax problems. His day-to-day practice includes: • Audit representation • Bankruptcy consultation and filings • Tax refund claims • Comprehensive solutions for those who cannot pay their back taxes • Offshore Bank Account disclosure
If you need assistance, contact IRSMedic here.
