JMBM Focus Update: IRS Extends Amnesty Deadline for Reporting Offshore Accounts

Offshore Account Amnesty Program Extended to October 15, 2009

Taxpayers with unreported income from offshore accounts now have until October 15, 2009 to voluntarily disclose that information to the IRS. This one-time extension — from September 23, 2009 to October 15, 2009 — will allow taxpayers and their attorneys to prepare the necessary documentation to qualify for the special penalty provisions.

As we reported earlier, UBS has agreed to give the IRS a list of more than 4,450 names of U.S. persons with UBS Swiss bank accounts. Whether or not your name appears on the UBS list, if you had an unreported offshore account (with UBS or otherwise) at any time during the past six years, you should consider participating in the IRS "voluntary disclosure" amnesty program.

Under the amnesty program, U.S. persons with unreported offshore accounts may qualify for reduced penalties if they file certain reports and pay (or agree to pay) federal income taxes due on any previously unreported income from offshore accounts. Failure to come forward under the amnesty may subject certain individuals to criminal prosecution and penalties.

IF YOU WOULD LIKE TO LEARN MORE ABOUT THE AMNESTY PROGRAM, PLEASE CONTACT US IMMEDIATELY.

Burton A. Mitchell
William S. Solari III
Wendy Bleiman