We are often asked by expatriates living in Mexico who have not filed their US
tax returns for many years (and have seemed to have dropped of any IRS
list) how the IRS could ever find them
or determine they are not filing their US tax return each year. Here are just
some of the ways:
1. Applying for social security
benefits or pension benefits
2. Opening US bank and financial accounts
3. Inheriting money from their parents or others and failing to report
income generated by those funds.
4. A Whistle blower. The IRS pays finders fees for those who turn in tax
evaders whether the snitch is a US person or a foreign person. The largest whistle blower fee paid to
date is $104 million.
5. Renew a passport (you now must give the Government your social secuirty
number) which is then sent to the IRS.
6. From a foreign countries tax agency exchanging information with the IRS
under treaties or FATCA.
7. Form public domain information on the internet, websites, Linkedin,
Facebook, Twitter, etc.
8. Registering the birth of a child born abroad with the US Embassy.
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| Which one is not filing their US Tax Return? |
9. Marriages or divorces (that are public record) that reveal your
existence.
10. By entering the US with a foreign passport that shows you were born in
the USA
11. Stolen information from foreign banks and financial institutions given
to the IRS
12. When your older children apply to US colleges or learning institutions
and list information about their payments who long ago dropped out filing tax
returns.
13. From other Americans in the US or abroad who do business with you
14. From suspicious activities forms filed with the IRS (yes this is an
actual IRS form often filed by Banks or other financial institutions, car
dealers, etc ).
15. As a result of information provided to it by the Serious Organised
Crimes Office (SOCA) or the US
Treasury's Financial Crimes Enforcement Network.
16. From data provided the IRS by other taxpayers entering the Offshore
Disclosure Program.
17. Forming a corporation or LLC in a foreign country that requires you register
yourself as the owner your US
citizenship.
An ever increasing number of countries are agreeing with the IRS that the
best way for all of them to collect more taxes is to share information about
their residents. Computers and the
internet are making it easier to gather data and locate those who previously
could successfully disappear into the world.
It is difficult to guess exactly when in the near future, but for sure
within the next 5 to 10 years there will be no where to run and no where to
hide.
We can help you solve your nonfiling problems before it is too late. We have been assisting Gringos in Mexico with their US taxes for over 22 years and know the best ways to re-enter the US tax system. Email us at ddnelson@gmail.com
