Numbers to Know – 8938, 8621, 5471, 3520

There are many IRS forms that taxpayers need to be aware of particularly when filing overseas with additional expatriate reporting requirements. These include Form 8938 (FATCA); Form 8621 (PFIC); Form 5471 (certain Foreign Corporations); Form 3520 (Foreign Trust).   Foreign Account Tax Compliance Act (FATCA) The Foreign Account Tax Compliance Act (FATCA) was enacted in 2010 to help […]

Fraud, ID Theft and Delayed Refunds

Expect Delays! Rather than receiving refunds, many of our clients have been receiving letters from the IRS requesting “verification of identity”. The most common letter is labeled “LTR 5447C”. Another variant is labeled “LTR 5071C”. The gist of the letter is that the IRS suspects that some unknown person has commandeered your name and social […]


A recent judgment by an appellant court judge in Israel ordered Bank Hapoalim to transfer money out of a U.S. citizens account, overruling the banks attempt to freeze the account until the account holder signed a W-9 form. To paraphrase, the judge stated that there is no law or ordinance in the law books, or […]

IRS Audit Support

In recent years, the IRS has drastically increased the amount of audits for US tax filers living overseas, with an emphasis on refund filings from US citizens earning income in Israel. The IRS has a “shoot first” or “guilty until proven innocent” mentality, and will often send compliant tax filers a letter with an enormous […]

Tis the Season to get Audited

Many clients have seen their recent tax refunds delayed by the I.R.S. The reason for this is that someone high up in the I.R.S. ranks decided that most citizens in Israel and other parts yonder cannot receive their refund without first undergoing an official examination to verify that the refunds are accurate and just. Certainly […]

Streamline Filing Complaince Procedure

On June 18, 2014, the IRS announced major changes to its offshore voluntary compliance programs. Overall, the changes ease the burden and invite more taxpayers to come into compliance. The changes include an expansion of the streamlined filing compliance procedures announced in 2012 to accommodate a wider group of U.S. taxpayers who have unreported foreign […]

United States – Documents Needed

United States Income Earned income: W-2, 1099-MISC, Gross income from business Investment income: 1099-DIV, 1099-INT, 1099-B, K-1, etc Rental income Other income: Social Security (SSA-1099), Pension (1099-R), Unemployment compensation or State tax refund (1099-G), Alimony received, etc Deductions Education expenses (1098-T), Student loan interest (1099-E) IRA/SEP/401k contributions Self-employed health insurance, Medical savings account Child care […]