Awards & Recognition
Carlsbad, California’s coastal gem, is renowned for its mild climate, picturesque landscapes, and robust economy. As a vibrant urban center, Carlsbad is a bustling hub of economic activity with innovative startups and major corporations. These businesses drive the city’s dynamic growth but require careful management of the complex federal and California state tax landscape. Strict compliance with tax laws is crucial in this economic framework, and any deviation could invite severe tax repercussions.
What Should I Do If I’m Facing an IRS or California State Audit with Undisclosed Foreign Accounts?
The IRS conducts many audits every year. Once you have been selected for federal or California state audit and have undisclosed foreign accounts and unreported offshore income-generating assets, your options to get yourself back into compliance become extremely limited, and you could end up facing severe civil and even criminal tax penalties and or criminal tax prosecution, especially if your conduct were willful concerning any non-compliance with income tax or foreign information reporting. If you’re in Carlsbad and realize that you could face criminal tax prosecution over a history of blatantly cheating on your tax returns if discovered, voluntarily disclosing this history by knocking on the IRS’s door before they bang down your door is the most crucial step towards resolution without facing criminal tax prosecution.
Why Should I Consider Voluntary Disclosure for Tax Non-Compliance?
Should you find yourself in a situation where you’ve not fully complied with tax-related responsibilities, voluntarily disclosing this can be an essential step toward rectification. Proactively revealing missteps or intentional evasion before an audit or criminal tax investigation begins offers a nearly guaranteed chance to return to compliance and avoid criminal prosecution for tax crimes. It’s important to understand that even if your disclosure doesn’t tick every box, your proactive and prompt action can yield positive results. Throughout this process, adhering to the advice of trusted legal professionals is paramount in effectively navigating this complex terrain.
How Can the Tax Law Offices of David W. Klasing Help with Voluntary Disclosures?
At the Tax Law Offices of David W. Klasing, our dual-licensed Carlsbad Voluntary Disclosure Attorneys and CPAs navigate the complexities of various federal and California state voluntary disclosures, including domestic, offshore, CDTFA, and FTB voluntary disclosures, streamlined procedures, and delinquent FBAR and international information return submission procedures. As long as a taxpayer who has willfully committed tax avoidance (potentially including non-filed foreign information returns coupled with affirmative evasion of U.S. income tax on offshore income) self-reports the federal tax non-compliance through a domestic or offshore voluntary disclosure before the IRS has started an audit or criminal tax investigation/prosecution, the taxpayer can ordinarily be successfully brought back into tax compliance and receive a nearly guaranteed pass on criminal tax prosecution and simultaneously often receive a break on the civil penalties that would otherwise apply.
For any tax planning compliance and controversy needs in Carlsbad, contact the Lawyers at The Tax Law Offices of David W. Klasing today. Our experienced Tax Lawyers offer a reduced-rate consultation on new cases or engagements. Call (760) 338-7035 or 800-681-1295 or contact us online today to schedule a reduced rate initial consultation at our Carlsbad tax law offices or one of our other convenient locations across Southern California.
Types of Voluntary Disclosure
Carlsbad taxpayers facing undisclosed income, deductions, credits, or liabilities associated with domestic sources have the option of Domestic Voluntary Disclosure. This method calls for collaboration with the IRS to amend six years of past federal tax oversights. Recognizing the correct type of voluntary disclosure applicable to your circumstances is crucial.
Should I Choose Quiet Disclosure?
An unofficial route, Quiet Disclosure, involves taxpayers amending and re-submitting their returns. While this process includes settling any due taxes, accrued interest, and self-assessed penalties, it doesn’t offer immunity/amnesty from potential severe penalties, including criminal tax charges, if the IRS identifies willful misconduct. Our dual-licensed Carlsbad Tax Attorneys and CPAs generally advise this course of action only when the inaccuracies on your return are minor and unintentional because the amended returns themselves can be viewed as a criminal tax admission.
Is Noisy Disclosure Suitable for My Situation?
In more complex or delicate tax cases, our team might suggest a “Noisy Disclosure.” This method is recommended when a substantial amount of additional tax is due, a risk of disqualification exists, or an explicit assurance from the IRS is desired. A noisy disclosure typically involves filing Form 14457 or the Voluntary Disclosure Practice Preclearance Request and Application. The initial step requires taxpayers to provide basic information about their non-compliance. If the IRS grants preclearance, taxpayers proceed to complete a detailed Voluntary Disclosure, which demands a narrative account of non-compliance and the disclosure of any professional advisors involved.
How do Streamlined Domestic Offshore Procedures work?
Designed explicitly for U.S. taxpayers residing within the U.S., the Streamlined Domestic Offshore Procedures provide an avenue to correct non-compliance regarding foreign financial assets. This program offers a way to rectify these discrepancies while potentially reducing penalties.
Can Streamlined Foreign Offshore Procedures help me?
The IRS offers the Streamlined Foreign Offshore Procedures for U.S. taxpayers living abroad. This program helps correct non-compliance related to foreign assets, offering favorable terms that may eliminate penalties.
Do I Qualify for Delinquent International Information Return Submission Procedures?
If you’ve failed to report certain international tax information but owe no additional tax, you may qualify for Delinquent International Information Return Submission Procedures. This pathway allows taxpayers to meet their information reporting obligations without facing penalties.
What Should I Know about Delinquent FBAR Submission Procedures?
For taxpayers who have not received a contact from the IRS regarding delinquent Foreign Bank and Financial Accounts Reports (FBARs) and are not currently under IRS civil examination or criminal tax investigation, the Delinquent FBAR Submission Procedures offer an avenue to correct their non-compliance.
Does California State Have a Voluntary Disclosure Program?
Like the IRS, the State of California’s Franchise Tax Board (FTB) and the California Department of Tax and Fee Administration (CDTFA) provide a method for non-compliant taxpayers in Carlsbad to regain compliant status by coming forward with the details of their failure to comply with the California state tax code. The path to voluntary disclosure to the FTB depends on whether you are an in-state or out-of-state filer.
Get Back into Tax Compliance without Facing Criminal Tax Prosecution in Carlsbad with our dual-licensed Voluntary Disclosure Attorneys and CPAs
At the Tax Law Offices of David W. Klasing in Carlsbad, our seasoned team is adept at preparing thorough initial disclosures and ensuring that all relevant facts, documents, and return information are presented with transparency and cooperation. We are not just another legal office in the city; it’s a nexus of federal and California state tax proficiency led by one of the nation’s most uniquely qualified civil and criminal tax controversy defense professionals. While the nation boasts approximately 1.1 million attorneys and 560k CPAs, an estimated mere 24k hold both prestigious designations. More profoundly, you’ll find that an even tinier elite group, roughly 3,000, have additionally earned a Master’s in Taxation. David W. Klasing is a proud member of this exclusive elite.
What Are the Statute of Limitations and Risks Involved in Tax Fraud and Misrepresentation?
Note: Tax fraud is not subject to a civil statute of limitations, meaning it can be pursued at any time. Tax crimes can ordinarily only be prosecuted within a six-year statute of limitations, but be aware that lying about a tax crime can constitute the last affirmative act of the crime, which could bring it into an open tax year, subjecting it to prosecution even after six years have passed. Said another way, any present-day misconduct, like providing false information to a federal agent concerning a past tax return, can trigger a new six-year statute of limitations. Moreover, it’s important to remember that tax returns are submitted under oath, making any misrepresentation potentially perjurious & lying to a federal agent is a felony in its own right.
How Can I Schedule a Tax Consultation with the Tax Law Offices of David W. Klasing?
Call us today at (888) 637-7690, contact us online, or reach our Carlsbad office directly at (760) 338-7035 for your reduced-rate initial tax consultation.
Our Carlsbad Office is Conveniently Located at:
701 Palomar Airport Rd #300,
Carlsbad, CA 92011
(760) 338-7035
