The use of offshore accounts to avoid taxes is not particularly new. However, in a globalized world, are they still a safe way for tax dodgers to hide their income? Check out some of these recent tax scandals to see.
Recently CNN reported on a raid of Gladys Knight’s Signature Chicken & Waffles restaurant by Georgia’s Department of Revenue. Shanga Hankerson, Knight’s son, was accused of stealing roughly $650,000 by withholding sales taxes owed to the state.
Earlier this year, a set of documents known as the “Panama Papers” was released by an anonymous individual. These documents resulted in the financial exposure of thousands of individuals holding offshore accounts (with records dating back to the 1970s).
On February 26, 2014, the Senate Permanent Subcommittee on Investigations held a hearing on "Offshore Tax Evasion: The Effort to Collect Unpaid Taxes on Billions in Hidden Offshore Accounts” (The Permanent Subcommittee on Investigations-Hearings-2/26/14).
It was announced by the Internal Revenue Service on February 24, 2014 (IR-2014-18) that the Criminal Investigation Division (CI) has released its Annual Report for Fiscal Year 2013 (IRS-CI Fiscal Year 2013 Annual Business Report).
The Offshore Voluntary Disclosure Program (OVDP) is part of an Internal Revenue Service increasing effort to stop offshore tax evasion and guarantee tax compliance.
Tax Debt Evasion Case Convictions from the Department Of Justice and IRS Federal prosecutors say a Northern California man who belongs to a group that believes tax laws are unconstitutional has been convicted of committing nearly $1 million in income tax fraud.