Banks in certain financial centres - especially Panama and the Bahamas - will have serious difficulties in complying with the US Foreign Accounts Tax Compliance Act. The Foreign Account Tax Compliancy Act, known as FATCA, is causing problems for banking jurisdictions such as Cayman Islands, Panama or the Bahamas. Although the law is targeted at…
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Tax Ruling Protects Transfers of Family Businesses
The recent US Tax Court ruling in Wandry v Commissioner, T.C. Memo. 2012-88, March 26, 2012 of Internal Revenue implies that a gift of a share in the business is always tax-free if it is specified to fall within the gift tax exemption, even if the IRS later challenges the business valuation. The taxpayers were advised…
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Sales Tax Liabilty can Land you in Jail? Who Should Worry?
In our October 22nd blog post, Hotel Owner Faces 15 Years in Jail For Sales Tax Theft, we wrote about a Florida restaurant owner who was arrested for collecting and not remitting sales tax. He was charged with a felony and if convicted could receive 30 years. It is not just the State of Florida…
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IRS Announces More Flexible Offer-in-Compromise Terms to Help a Greater Number of Struggling Taxpayers!
Due to the exceptional economic downturn that the country has experienced, the number of struggling taxpayers who are unable to pay in full the taxes they owe has increased dramatically. One of the methods available to such distressed taxpayers is to enter into what is known as an Offer in Compromise (“OIC”) with the…
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