There are many US citizens living abroad who are not aware or only recently became aware of their potential reporting and filing requirements. We are very experienced in helping non-filers (“delinquent” according to the IRS) become compliant again using the IRS’s Streamlined Filing Compliance Procedures.
The Streamlined Filing Compliance Procedures were first introduced in June 2012 and then expanded in 2014 to broaden the scope and make it easier for taxpayers to enter.
By filing their returns according to the procedures, taxpayers qualifying for the “Foreign Offshore” programme will not be subject to failure-to-file, failure-to-pay, accuracy-related, information return or FBAR penalties.
The procedures specify that the taxpayer must file the last three years’ tax returns and the last six years’ FBARs for which the due date has passed, along with the Form 14653 and statement of non-wilful violation.
To qualify for the Streamlined Foreign Offshore Procedures, a taxpayer must:
- Meet the non-residency requirement which specifies that the taxpayer, in at least one of three tax years for which the tax returns are to be filed, must not have an “abode” in the United States and must not have been physically present in the United States for more than 35 days.
- Be able to certify that their non-compliance was due to non-wilful conduct. The IRS defines this as “negligence, inadvertence, or mistake or conduct that is the result of a good faith misunderstanding of the requirements of the law”.
If you would like to talk to us about your situation and the possibility of using the Streamlined Filing Compliance Procedures, please call us or use the contact form and we will respond shortly.