IRS overseas account amnesty Deadline extended to September 9th

IRS foreign account amnesty deadline extended to September 9th (Alberta Times) Although Hurricane Irene is bad news for many Americans, the decision is still undecided...

IRS foreign account amnesty deadline extended to September 9 (Alberta Times) While Hurricane Irene is bad news for many Americans, it is good news for those who have not yet made up their minds about participating in the Internal Revenue Service (IRS) foreign account amnesty program. The program was originally set to end on August 31, but due to disruptions caused by Hurricane Irene, the IRS has announced an extension to September 9. According to foreign reports, many taxpayers participating in the Offshore Voluntary Disclosure Initiative (OVDI) are desperately collecting documents in order to submit them to the IRS before the amnesty deadline. Now, at least there's a little room to breathe. The new deadline applies to applicants who have already submitted a declaration but want an extension, as well as to new applicants. For taxpayers who want to participate, the IRS's voluntary disclosures letter provides a good starting point, and a qualified tax attorney can help you through the entire process. For those applicants who have already submitted documents and need more time to collect bank records, prepare revised tax amounts for 2003 to 2010, and original or revised foreign account FBAR Form TD F90-22.1, another extension to November 29, 2011 is still possible. The IRS has previously announced that if applicants request an extension, they must submit some key documents and complete a number of steps by August 31. Now, the formal steps required for the new deadline of September 9 appear to have been reduced, which is great news and taxpayers who want to participate should hurry up and seize the opportunity. This is the IRS’s second foreign account amnesty program. Taxpayers who hold foreign bank accounts but fail to declare them and do not participate in the 2011 amnesty program may face huge fines, civil penalties, or even criminal prosecution.