CaribWorldNews, NEW YORK, NY, Tues. Oct. 13, 2009: Americans with assets in previously undisclosed offshore financial accounts, such as the sunny Caribbean region, have until this Thursday to come clean to Uncle Sam.

Oct. 15 is the deadline for special voluntary disclosures by taxpayers with assets in previously undisclosed offshore financial accounts, says the Internal Revenue Service. Those taxpayers who do not voluntarily disclose their accounts by Oct. 15 face harsh civil penalties, where applicable, and possible criminal prosecution, the federal agency added this week.

Under the special provisions issued in March, taxpayers with these accounts originally had until Sept. 23, 2009, to come forward.  Tax professionals or individuals who want to initiate a voluntary disclosure should call their local IRS Criminal Investigation office. Individuals or their representatives may either contact the nearest Special Agent in Charge, IRS Criminal Investigation, stating their wish to make a voluntary disclosure, or provide a letter outlining information needed to assist the IRS in determining their acceptance into the voluntary disclosure program.

The IRS says the objective is to bring taxpayers that have used undisclosed foreign accounts and undisclosed foreign entities to avoid or evade tax into compliance with United States tax laws.  Additionally, the information gathered from taxpayers making voluntary disclosures under this practice will be used to further the IRS`s understanding of how foreign accounts and foreign entities are promoted to United States taxpayers as ways to avoid or evade tax.  Data gathered will be used in developing additional strategies to inhibit promoters and facilitators from soliciting new clients.

Taxpayers wanting to participate in the IRS voluntary disclosure process should call the phone number associated with the state in which they reside. Taxpayers who do not submit a voluntary disclosure run the risk of detection by the IRS and the imposition of substantial penalties, including the fraud penalty and foreign information return penalties, and an increased risk of criminal prosecution.