News & Events

The IRS Offshore Voluntary Disclosure Program (OVDP) allows taxpayers the opportunity to come forward and disclose offshore accounts that they may not have previously reported to the Internal Revenue Service as required.  Those who come forward may avoid criminal prosecution and avoid the harsh penalties that they could otherwise face if the government discovers the account before a disclosure is made.

Since 2009, the Offshore Voluntary Disclosure Program (OVDP) has made it possible for more than 45,000 taxpayers to declare offshore foreign accounts that they had failed to disclose in the past.  The OVDP was designed to reduce penalties that would be associated with a failure to disclose a foreign account.  Unfortunately, the program was very limited and many people who wanted to take advantage of it were unable to do so. 

Kevin E. Thorn, Managing Partner of Thorn Law Group, discusses the new 2014 IRS Amnesty Program and the impact that the new requirements may have on U.S. taxpayers who have undisclosed overseas accounts.

The Offshore Voluntary Disclosure Program (OVDP) has existed since 2009 to allow taxpayers to come forward and report offshore accounts they had previously failed to disclose to the Internal Revenue Service (IRS).  Both individuals living abroad and individuals within the United States must report offshore accounts annually and can face penalties and fines if they fail to do so.

American Taxpayers with undisclosed foreign accounts may soon have their account information given  to the United States Government, because Credit Suisse has agreed to pay over 2.6 billion dollars in fines to the U.S. Government, and has also pleaded guilty to various illegal financial activity.  Because of this landmark case, other foreign banks may now enter into plea agreements with the U.S. Government.