Voluntary Disclosure in Salt Lake City, UT
Metro Area: Salt Lake City, UT MSA
Voluntary Disclosures Program
The Voluntary Disclosures Program (VDP) is a program that will allow you, as a taxpayer, to come forward and disclose any undisclosed income. It is an opportunity to correct incomplete or incorrect information provided in the previous tax filings. When a taxpayer discloses voluntarily, he's not charged with any penalty of prosecution. So, the taxpayers in Salt Lake City, or anywhere in the USA, who have undisclosed income or deposits, can use this program to avoid possible penalties in the future when the IRS finds out about the undisclosed money.
How to make a disclosure
To make a voluntary disclosure, you have to complete the Taxpayer Agreement – Voluntary Disclosures Program. Attach the form to your disclosure submission and any supporting documentation.
You or your authorized representative can submit the form. Here, seeking the help of an expert tax representative is beneficial for you.
A voluntary disclosure submission is done in writing. You can mail it or fax it to the tax services office (TSO) of your area where you reside.
Conditions for a disclosure
A valid voluntary disclosure must fulfill 4 conditions. These conditions require that
- The disclosure is voluntary
- It’s complete
- It involve the application or potential application of a penalty
- It includes information that is more than one year overdue
When the IRS accepts the disclosure, the taxpayer should pay the taxes or charges he/she owes along with the interest.
The taxpayer will not face any penalty or prosecution for those amounts accepted as a valid disclosure. The voluntary disclosure process is complex and you will do better with help from tax experts. It is advised that taxpayers hire professional tax resolution specialist or IRS licensed enrolled agents to help them with the disclosure process as they are experienced and skilled in resolving disputes with the IRS.
Right of redress
If you, as a taxpayer, disagree with a VDP decision, you can request for a second review of your file. For that, you'll have to contact the Director of the TSO which issued the original decision. It is also possible to use judicial review process for further recourse.
Even though, the deadline for voluntary disclosure program has passed, taxpayers can still file their voluntary disclosure according to IRS regulations.
Hiring an expert tax representative is important in this process so that you follow the complex procedure exactly as needed and do not create any problem with the IRS.
Get expert tax help today by calling Mike Habib, EA at 877-788-2937