Archive | March, 2016

IRS/OVDP Risks and Perils: Recent Cases

March 30, 2016  |   Posted by :   |   OVDP   |   0 Comments

1. Ty Warner On 7/11/15 Forbes reported that a three Judge 7th Circuit Court of Appeals Panel rejected Federal Prosecutors’ request that billionaire, Ty Warner, owner of Beanie Babies, Forbes 400 billionaire (worth $2.5B+) do jail time for hiding $107m in UBS/Switzerland from 1996-2007, failing to report $24.4m interest income (over the 11 tax years) […]

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IRS OVDP (7/1/14) Risks & Perils – Part 3

March 24, 2016  |   Posted by :   |   OVDP   |   0 Comments

If you have been reading my previous newsletters you would know that I have grave misgivings about the IRS/OVDP. The reasons are as follows: 1) Under IRC sec 7525 there is no attorney-client privilege for criminal tax evasion (which means that if the OVDP submission is not accepted, the taxpayer is later ruled ineligible, or […]

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Soccer Star, Neymar, Guilty of Tax Evasion

March 21, 2016  |   Posted by :   |   Tax Evasion,Unreported Income   |   1 Comment

Soccer start, Neymar (star forward for Barcelona, 24 year old Brazilian, formerly of team Santos) has been reportedly found guilty of tax evasion in Brazil and fined 45.9m Euros (over $50m/US) for failing to declare 2012-2014 earnings to avoid payment of 53.6m Euros in taxes on income received from his former team, Santos and endorsement […]

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Winery Land: Sales and Leasebacks

March 16, 2016  |   Posted by :   |   International Tax Planning   |   0 Comments

California wineries that own their vineyards (and related buildings) are often “real estate rich” and “cash impaired”. Bank, and other financing, have been made more restricted due to 2016 bank lending conditions which are often too limited especially in light of the ongoing CA drought which impacts lender’s forecasts for wineries. So the challenge in […]

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IRS OVDP (7/1/14) Risks & Perils – Part 2

March 10, 2016  |   Posted by :   |   OVDP   |   0 Comments

Under the IRS OVDP (7/1/14) the IRS may criminally prosecute: 1) If the IRS already has taxpayer name disclosed by either the foreign financial institution, the facilitator, under a tax treaty, or by a “whistleblower”; 2) If the taxpayer is not accepted in the OVDP because unknown to them they are already under IRS criminal […]

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IRS/OVDP (7/1/14) Risks & Perils – Part 1

March 09, 2016  |   Posted by :   |   OVDP   |   0 Comments

The IRS Offshore Voluntary Disclosure Program (OVDP)/2014 is a continuation of the 2012 IRS/OVDP with modified terms (which are the successors to the short-lived e.g. 6 months+ 2009 IRS/OVDP; 2011 IRS/Offshore Voluntary Disclosure Initiative (IRS/OVDI). Unlike its prior programs, the IRS /OVDP (2014) has no set deadline for taxpayers to apply. The terms of the […]

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Tax Planning For Winery Owners

March 07, 2016  |   Posted by :   |   International Tax Planning   |   0 Comments

As the owner of a winery, both succession issues and tax issues may play a predominant role in your estate and gift tax planning. I am an internationally recognized tax planning expert (in 2015 I was cited by the UK based Global Law Experts as the CA International Tax Planning Law Firm of the Year […]

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The IRS & Offshore Trusts: FATCA

March 03, 2016  |   Posted by :   |   FATCA/FBAR   |   1 Comment

On March 18, 2010, President Obama signed the Hiring Incentives to Restore Employment Act (“HIRE”) Act (P.L. 111-147, the “Act”) which included the Foreign Account Tax Compliance Act (“FATCA”) which contained new foreign account tax compliance rules. Under the Act, new reporting and disclosure requirements for foreign assets were phased in between 2010-2014. Under FATCA: […]

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Winery: Estate Planning and Succession Issues

March 01, 2016  |   Posted by :   |   International Tax Planning   |   0 Comments

I am an internationally published tax author, 15 books, and 21 articles. Previously I wrote a book on Tax Planning for US/CA Wine Exports, which described a tax strategy to save 25-50% of federal income taxes on export wine sales. In the course of my research, I learned that many wineries are family owned businesses […]

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