International Tax Compliance 101 An overview of

Transcript:International Tax Compliance 101 An overview of:
International Tax Compliance 101 An overview of the forms, troubleshooting compliance issues, and navigating the tricks and traps of green card and visa residents Austin C. Carlson, CPA, JD Gray Reed & McGraw, P.C. acarlson@grayreed.com August 15th, 2014 Texas Association of CPAS International Tax Categories – What’s covered in this presentation *Specifically U.S. Tax Information Reporting. Financial reporting is another sub-category. International tax Compliance 101- Austin C. Carlson, CPA, JD, Gray Reed & McGraw, P.C. Presentation Overview Part 1: An Overview of the Most Common International Tax Forms Part 2: Troubleshooting Offshore Account Compliance Issues – A Field Guide to the OVDP including the July 2014 revisions (the “2014 OVDP”) Part 3: Navigating the Tricks and Traps of Tax Issues of Green Card and Visa Residents International tax Compliance 101- Austin C. Carlson, CPA, JD, Gray Reed & McGraw, P.C. Part 1: Overview of International Tax Information Returns FinCEN Form 114 – Foreign Bank Account Report Form 8938 – Statement of Specified Foreign Assets Form 8833 – Treaty Based Disclosure Position Form 2555 – Foreign Earned Income Exclusion Form 5471 - Information Return of U.S. Persons With Respect to Certain Foreign Corporations Form 5472 - Information Return of a 25% Foreign-Owned U.S. Corporation or a Foreign Corporation Engaged in a U.S. Trade or Business Form 8865 - Return of U.S. Persons With Respect to Certain Foreign Partnerships Form 8858 - Information Return of U.S. Persons With Respect To Foreign Disregarded Entities Form 3520 – Return for Foreign Trusts and Receipt of Certain Foreign Gifts Form 3520-A - Annual Information Return of Foreign Trust With a U.S. Owner International tax Compliance 101- Austin C. Carlson, CPA, JD, Gray Reed & McGraw, P.C. FinCEN Form 114 – Foreign Bank Account Report (“FBAR”) Simplified History of the FBAR Created in 1970 – Bank Secrecy Act The Secretary of the Treasury shall require a resident or citizen of the United States or a person in, and doing business in, the United States, to keep records, file reports, or keep records and file reports, when the resident, citizen, or person makes a transaction or maintains a relation for any person with a foreign financial agency. Amendments in 2004 – New Penalties for Non-Willful Violations, Stronger Willful Penalties. Amendments in 2011 – Some New Clarifications and Modifications of Terms. June 30th, 2013 – Switch from Form TD F 90-22.1 to Mandatory Filing of FinCEN Form 114