Much has been made in the media lately about the IRS coming after Americans living in Canada (and abroad) through the Foreign Account Tax Compliance Act (FATCA). Starting July 1, 2014, most Canadian financial institutions will begin reporting any accounts associated with a “U.S. person” to Canada Revenue Agency, who, in turn, will forward that on to the IRS. What will the IRS do with that information? Make sure it is reflected on your U.S. tax return correctly.
But what if you are one of the thousands of American citizens, derivative citizens, or green card holders (U.S. persons) living in Canada that have not been filing tax returns? Or suspect your tax returns have not been filed correctly to reflect these foreign accounts? Our latest blog article details the “5 Options for Americans not Filing with the IRS” including the latest penalty-free initiative the IRS is offering to those innocent bystanders caught in the wide FATCA net the IRS has cast. We trust this article will bring some clarity to an issue that is gaining attention across the U.S., Canada and the globe!