Delinquent U.S. foreign reporting forms are a major source of risk and penalty exposure for U.S. taxpayers. The IRS now imposes an automatic $10,000 penalty on any U.S. federal tax returns that are filed late with attachments, including certain U.S. foreign reporting forms such as the Form 5471 or 5472. U.S. taxpayers, including individuals, companies, trusts and estates, should be aware that having international cross-border activities could lead to additional U.S. federal tax compliance requirements and substantial penalties for not complying.
The Forms 5471, 8865 or 8858 may need to be filed if the U.S. taxpayer acquires a direct …read more
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