Any lawyer involved in a clawback settlement agreement must, where possible, in the settlement agreement, distinguish between and earmark the two types of clawback that can happen. There can be a clawback of profits earned from the ponzi scheme or a clawback of invested principal.
As you will see there is a distinctly different tax treatment between the two clawbacks and as a general rule, clawbacks allocated to profit losses may be more valuable for larger refunds but also may be more treacherous to deal with. Read article and view video on Maximum Tax Recovery by Richard S. Lehman, Esq.
The IRS Streamlined Filing Compliance Procedures explained by Richard S. Lehman, Esq.
Taxpayers who choose the “Streamlined Procedures” to report offshore income will not be able to enter the existing I.R.S. Offshore Voluntary Disclosure Program (OVDP).
Most important, taxpayers who choose this Streamlined Procedure must be sure their disclosures are complete and in good faith. This is because returns submitted under the Streamlined Procedures will not be subject to IRS audit automatically. However, they may be selected for audit under the existing audit selection processes applicable to any U.S. tax return and may also be subject to verification procedures in that the accuracy and completeness of submissions may be checked against information received from banks, financial advisors, and other sources.
Thus, returns submitted under the streamlined procedures may be subject to IRS examination, additional civil penalties and even criminal liability, if appropriate. Read full article here and view video.
Free 50-minute Web Seminar: Learn how recovery through the "Tax Refund" is quick and reliable.
This web seminar is for victims and financial professionals.
Richard S. Lehman will explain:
• How to best secure a tax refund from Ponzi Scheme losses
• How the government has made recovery easier
• What you need to know about theft losses
The Madoff Tax Losses - Is the Safe Harbor Worth it? By Richard S. Lehman, P.A. ATTORNEY AT LAW
Much has been written about the two documents released by the I.R.S. regarding the taxation of Ponzi schemes. There is Revenue Ruling 2009-9 (the "Rev. Rul.") in which the I.R.S. has clarified much of the unsettled law in this area. Likewise there is Revenue Procedure 2009-20 (the "Rev. Proc.") which provides an uncomplicated path through the law and will be helpful to thousands of Madoff victims who will have a short route to cash refunds from tax losses. This will be sorely needed by many. This is provided in what the I.R.S. calls a "safe harbor" procedure.
The two documents by IRS are a good package and drafted in record time for any government agency. The I.R.S. worked well.
HOWEVER, IT IS IMPORTANT TO REMEMBER IRS IS NOT IN BUSINESS TO GIVE BACK MONEY. The "safe harbor" needs to be carefully studied because it is a safe harbor that could be extremely expensive from a tax standpoint. It might be a safe harbor but the tax cost to dock your boat in this harbor could be very high. Read Full Report
Foreign Investor Taxation of United States Real Estate
As a very active practitioner in the area of foreign investor taxation of United States real estate, Richard S. Lehman, will be adding articles of interest regularly. These will be articles that deal with actual tax issues. These are issues that could apply to every foreigner who is going to invest in real estate and all those that are dealing with them on an everyday basis such as the real estate broker, the real estate attorney, the accountant and other professionals in the field.
If any one of those links in the chain of professionals that are serving the Foreign Investors are unfamiliar with what the Foreigner Investor needs and how to thoroughly protect them, there is room for the possibility of problems. Therefore, I would invite the readers to take advantage of this web site in several ways.
ARTICLE 1:
Tax Planning for Foreign Investors Acquiring Smaller ($500,000 and under) United States Real Estate Investments.
Amnesty – Mostly the Innocent? What do you do about it?
Prior to the announcement of the Amnesty program, the Internal Revenue Service always had a Voluntary Compliance program that would permit taxpayers who had not filed their returns properly, or not filed tax returns at all, to come forward on their own. By voluntarily filing the appropriate tax returns or amended tax returns to make the sure taxpayer was current with the Internal Revenue Service, the criminal tax exposure was waived so long as no investigation of the taxpayer was in process.
This program, which was relied on for years, would normally require the taxpayer to pay the taxes due on the late or amended returns, the interest due on those taxes and a late payment penalty or accuracy penalty of 25%. Other than that, on only rare occasions would a case require the payment of any more penalties, unless of course there was obvious fraud, which could result in higher penalties.
Recently, the Internal Revenue Service published statistics that reflected approximately 3,500 people have taken advantage of the Amnesty Program. This seems rather small in light of the fact that there are published figures that indicate there are approximately 100,000 individuals with offshore bank accounts, approximately 50,000 of which are involved with U.B.S.
From a law practice standpoint, it seems that a lot of the very “innocent” and “near innocent” are stepping forward to take advantage of the Amnesty Program. These are individuals that otherwise would ordinarily qualify for the regular Internal Revenue Service Program.
However, because of the Amnesty Program, the Internal Revenue Service is going to look closer at voluntarily compliance filings “outside” of the Amnesty Program. Therefore, for the first time, taxpayers must face a choice of whether to accept the Amnesty Program with its guaranty of no criminal exposure and its penalty tax of 20% on the bank deposits, or to file under the ordinary Voluntary Compliance Program and avoid criminal exposure, and face potential civil penalties that could be higher than the 20% payment on bank deposits.
Do you have an unreported foreign bank account and you missed the Amnesty Program? Are you afraid to enter into the I.R.S Voluntary Compliance Program?
Richard Lehman, a Florida tax lawyer, specializing in the amnesty and voluntary compliance areas of tax law is organizing a class of people for the purpose of approaching I.R.S. to force it to apply the “Doctrine of Tax Payer Equality” and extend equal treatment to all taxpayers so that taxpayer(s) can continue to take advantage of long standing policies by the I.R.S. that allow them to clear their records without facing confiscatory civil penalties or criminal violations.
Lehman believes that a well represented large group of taxpayers is the taxpayers’ best chance of fairness and equal treatment.
Are you going to wait until more information is supplied to the I.R.S. from foreign banks and face criminal tax charges when you can still avoid them right now?
Learn more about joining this group - contact:
Richard S. Lehman, Esq.
6018 S.W. 18th Street, Suite C-1
Boca Raton, FL 33433
561-368-1113 Telephone
561-368-1349 Fascimile
Right now the United States represents one of the best buying opportunities of a lifetime. Real estate of every size and category, American businesses, both small and large are for sale at prices from 20 years ago. The highly educated, highly trained and highly motivated American work force needs work.
In recognition of the rapidly expanding group of foreign nationals investing in the United States, I have launched a multi-language web sitewww.UnitedStatesTaxation.com. This website is an introduction to taxation and investment in the United States.
This information is free and intended to provide the foreign investor with a basic introduction to the tax laws of the United States as they apply to that foreign investor. I hope this raises your interest as an investor or immigrant to the United States. If it does, please know that the internationally oriented American tax lawyer is the first to learn of commercial opportunities and can be most helpful to the foreign investor. Please contact my office with any U.S. Tax Questions.
Sincerely,
Richard S. Lehman, Esq
Telephone: (561) 368-1113
Facsimile: (561) 368-1349
International Problem Solvers Group (the "Group") is a consulting and resource firm consisting of four practicing U.S. attorneys with a combined experience of over 125 years. They have paved the way for international investors who are seeking counsel in international taxation, immigration, real estate, and business investment. The group principals provide an integrated plan and serve as the single point of contact for these three disciplines.
The group has forged a reputation of creative solutions to issues that face foreigners hoping to establish businesses and residence in the United States. Learn how the group can help you through the often complex and confusing process of understanding United States Taxation, Immigration, Real Estate, and Business.
Taxation
Richard S. Lehman, Esq.
Immigration
Lawrence P. Lataif, Esq.
Real Estate
Bert R. Oliver, Esq
International Commerce
Al Zucaro, Esq
Mr. Lehman is a graduate of Georgetown Law School and obtained his master’s degree in taxation from New York University. Mr. Lehman has been practicing in South Florida for over 35 years. During Mr. Lehman’s career his tax practice has caused him to be involved in an extremely wide array of commercial transactions involving an international and domestic client base.
Mr. Lataif, has been providing a complete range of corporate and individual immigration services since 1975 with an unsurpassed record of success. The Mr. Lataif and his firm has extensive expertise and experience in all aspects of business immigration law, individual immigration filings, and general immigration litigation
Mr. Oliver has over thirty years of experience in all aspecs of commercial real estate acquisition (including large coordinated assemblages), development, construction, leasing and sales.
Mr. Zucaro is one of South Florida's most captivating voices on immigration law and migration strategy, especially in relation to international trade and commerce, Mr. Zucaro is uniquely qualified to discuss the challenges faced by individuals and businesses as a result of this ever-changing climate.
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