Offshore Accounts Are Not As Invisible As You Think
Thanks to the wealth of financial terminology that’s been used in everything from television series about orga-nized crime, to the biopics of successful business people, the average American has had some broad expo-sure to a lot of different financial concepts. One of them, an especially popular idea in both fictional financial crime and, unfortunately, real world financial crime, is the unreported offshore account.
In the simplest terms, this means that a person will open a bank account, or some other kind of financial prod-uct in another country, and then transfer money to that account. When it comes time to file income taxes, the person then files for taxes with only the money listed in local American accounts, leaving out the income that’s been hidden in the account or accounts in another country.
But the very popularity of unreported offshore accounts is also its downfall. In today’s closely tracked world of financial transactions, it is extremely difficult for anyone to move money from one financial institution to anoth-er, yet retain easy access to that money should it be required, in a way that isn’t traceable. There are, of course, many legitimate reasons for having offshore accounts, such as doing business with other countries. But even in this event, those offshore earnings should be reported to the IRS in tax filings, not hidden. And if an attempt is made to hide them, the IRS has many techniques and mechanisms in place to track down discrepancies to their source once their suspicion has been aroused.
Professionals Make Sure You Do It Right
If you don’t want to take any chances with your taxes, make sure that fully certified, experienced professionals handle it. Sherbetjian Premium Tax Services has been in the business for over 25 years, helping both citizens and businesses of Southern California to ensure that their accounts, both on our shore and offshore are in proper order. Get in touch for more information and help with your taxes.