Do you know anything about OVDP or offshore voluntary disclosure programs? We will help you understand everything about the Offshore Voluntary disclosure program or OVDP at USTAXFiling. So, continue to read this article till the end to get all the insights related to OVDP for U.S. income taxpayers.

 The OVDP or Offshore voluntary disclosure program was created by the IRS or Internal Revenue Service to help U.S. income taxpayers who had undisclosed foreign financial accounts to come into compliance with the regulation of U.S. law.

The OVDP (Offshore voluntary disclosure program) was closed on 28 September 2018, but the Internal Revenue Service has provided a streamlined filing procedure program for income taxpayers who are in a similar situation.

Knowing about the OVDP or Offshore Voluntary Disclosure program

The Offshore voluntary disclosure program, or OVDP, was a voluntary program that was used to help U.S. income taxpayers to come into compliance with U.S. tax regulations by disclosing undisclosed foreign financial accounts. The Offshore voluntary disclosure program was well-designed to be a more lenient option for criminal prosecution of income taxpayers who had failed to report their foreign financial accounts.

To take part in the Offshore Voluntary disclosure program, income taxpayers had to meet specific eligibility needs. These needs included are:

• Income taxpayers had to pay charges.
• Income taxpayers had to cooperate with the Internal Revenue Service.
• Income taxpayers had to have undisclosed FFA or foreign financial accounts. 
• Income taxpayers had to have failed to report their foreign financial accounts on their United States income tax returns.

The Offshore voluntary disclosure program was a complex process, and there were several terms and conditions that income taxpayers had to follow.

Differences between the Streamlined Filing Procedures and OVDP

The streamlined filing process was first introduced in 2012 by the Internal Revenue Service and is a simple and less costly option than the ODVP. To become eligible for the new streamlined filing process, income taxpayers should meet the following needs:

• Income taxpayers should certify that they might not involve in future tax invasions.
• Income taxpayers should have had no willful purpose to violate U.S. tax regulation.
• Income taxpayers should have failed to report their foreign financial accounts on the U.S. income tax returns.
• Income taxpayers should have unreported FFA or foreign financial accounts.
• Income taxpayers should file all needed U.S. income tax returns and pay all due taxes.
• Income taxpayers should pay a charge of 5 percent of the highest aggregate balance of the FFA or foreign financial accounts.

The process of streamlined filing is a more attractive alternative for several U.S. expats who have undisclosed FFA or foreign financial accounts. The program is less costly, simple and does not need income taxpayers to admit to willful purpose to violate U.S. income tax regulation.

Need Assistance Getting Caught Up on Your Late Expat U.S. Income Tax Return?

Our USTAXFiling team of highly dedicated and qualified IRS and CPAs Enrolled Agents is there for you. We will assist you in making the process of getting caught up a simpler and more convenient experience with the expertise you are searching for in a tax consultant. Our USTAXFiling is always updated with the current trends of U.S. expat income tax filing. So, if you have any doubts related to U.S. tax filing, then you can share them with them, and our USTAXFiling experts are here to resolve them at the earliest! Your wait is over now. Get in touch with USTAXFiling, your income tax filing partner, right away!

Demystifying the Offshore Voluntary Disclosure Program 

Do you know anything about OVDP or offshore voluntary disclosure programs? We will help you understand everything about the Offshore Voluntary disclosure program or OVDP at USTAXFiling. So, continue to read this article till the end to get all the insights related to OVDP for U.S. income taxpayers.

 The OVDP or Offshore voluntary disclosure program was created by the IRS or Internal Revenue Service to help U.S. income taxpayers who had undisclosed foreign financial accounts to come into compliance with the regulation of U.S. law.

The OVDP (Offshore voluntary disclosure program) was closed on 28 September 2018, but the Internal Revenue Service has provided a streamlined filing procedure program for income taxpayers who are in a similar situation.

Knowing about the OVDP or Offshore Voluntary Disclosure program

The Offshore voluntary disclosure program, or OVDP, was a voluntary program that was used to help U.S. income taxpayers to come into compliance with U.S. tax regulations by disclosing undisclosed foreign financial accounts. The Offshore voluntary disclosure program was well-designed to be a more lenient option for criminal prosecution of income taxpayers who had failed to report their foreign financial accounts.

To take part in the Offshore Voluntary disclosure program, income taxpayers had to meet specific eligibility needs. These needs included are:

• Income taxpayers had to pay charges.
• Income taxpayers had to cooperate with the Internal Revenue Service.
• Income taxpayers had to have undisclosed FFA or foreign financial accounts. 
• Income taxpayers had to have failed to report their foreign financial accounts on their United States income tax returns.

The Offshore voluntary disclosure program was a complex process, and there were several terms and conditions that income taxpayers had to follow.

Differences between the Streamlined Filing Procedures and OVDP

The streamlined filing process was first introduced in 2012 by the Internal Revenue Service and is a simple and less costly option than the ODVP. To become eligible for the new streamlined filing process, income taxpayers should meet the following needs:

• Income taxpayers should certify that they might not involve in future tax invasions.
• Income taxpayers should have had no willful purpose to violate U.S. tax regulation.
• Income taxpayers should have failed to report their foreign financial accounts on the U.S. income tax returns.
• Income taxpayers should have unreported FFA or foreign financial accounts.
• Income taxpayers should file all needed U.S. income tax returns and pay all due taxes.
• Income taxpayers should pay a charge of 5 percent of the highest aggregate balance of the FFA or foreign financial accounts.

The process of streamlined filing is a more attractive alternative for several U.S. expats who have undisclosed FFA or foreign financial accounts. The program is less costly, simple and does not need income taxpayers to admit to willful purpose to violate U.S. income tax regulation.

Need Assistance Getting Caught Up on Your Late Expat U.S. Income Tax Return?

Our USTAXFiling team of highly dedicated and qualified IRS and CPAs Enrolled Agents is there for you. We will assist you in making the process of getting caught up a simpler and more convenient experience with the expertise you are searching for in a tax consultant. Our USTAXFiling is always updated with the current trends of U.S. expat income tax filing. So, if you have any doubts related to U.S. tax filing, then you can share them with them, and our USTAXFiling experts are here to resolve them at the earliest! Your wait is over now. Get in touch with USTAXFiling, your income tax filing partner, right away!