To excel as a tax practitioner in an increasingly global marketplace, you must familiarize yourself with the preparation of tax forms for clients conducting foreign transactions or with assets in international accounts. Gain a thorough understanding of foreign information return reporting requirements and valuable techniques to determine whether or not your clients may encounter foreign income tax problems. Attain a working knowledge of IRS and Department of Treasury foreign information returns to represent clients and comply with Circular 230 effectively. All essential concepts will be discussed in light of the resurrected IRS foreign voluntary disclosure program, which reduces the foreign information return burden.
Learning Objectives
• Gain a working knowledge of all the foreign information returns
• Identify key defenses to IRS criminal and civil penalties for faulty foreign returns or non-filed foreign returns
• Recognize the significance of the IRS voluntary disclosure policy related to offshore transactions and accounts
Major Topics
• IRS foreign information returns and Civil Penalties Information Chart
• Report of Foreign Bank and Financial Accounts: Form Fin CEN Form 114
• FBAR penalty mitigation rules
• Statement of Specified Foreign Financial Assets: Form 8938
• Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Gifts: Form 3520
• Annual Information Return of Foreign Trust With a US Owner: Form 3520-A
• Information Return of U.S. Persons concerning Certain Foreign Corporations: Form 5471
• Information Return of a 25% Foreign-Owned or a Foreign Corporation Engaging in a US Trade or Business: Form 5472
• Return by a US Transfer of Property to a Foreign Corporation: Form 926
• Return of U.S. Persons concerning Certain Foreign Partnerships: Form 8865
• Information Return of U.S. Persons concerning Foreign Disregarded Entities: Form 8858
• Return by Shareholder of a Passive Investment Company or Qualified Electing Fund: Form 8621
• Current procedures for participation in the IRS Offshore Voluntary Disclosure Program (OVDP)
