Curing FBAR Noncompliance without Penalties
We have helped many clients come into compliance, in some cases without any penalties. In one case, we determined that the client had only signature authority over certain foreign financial accounts that belonged to a third party. We further determined that since our client was not the owner of the account, she had no obligation to report the income on her individual United States income tax returns. Thus, she could take advantage of the program whereby she filed delinquent FBARs along with an explanation. She avoided all penalties. Moreover, the foreign bank involved paid a significant portion of her legal fees, which we remitted, in full, to her.