Tax Warrior Chronicles

By: Rosie Flite

Prince Harry and Meghan Markle have been living in a whirlwind the past year, from welcoming their first child, Archie, to starting their transition from their positions in the royal family. With their plans to stop accepting funding from the UK Sovereign Grant and to move part-time to North America including Canada and the U.S., most likely California, there will be hurdles for them - one of which being taxation. Being royal makes it much more complicated, but we can try to do some analysis under some simplified assumptions.

Even though the family will be splitting their time between the UK and North America, Meghan and Archie must pay U.S. income taxes on their

By: Patrick J. McCormick, JD, LLM

Part I of this series focused on income tax obligations for American citizens and residents, with Part II detailing options to mitigate double taxation for those individuals.  Part III covered tax treatment of individuals who are neither citizens nor residents of the U.S., but have income sourced to the country.  In this fourth and final part of this series, we will discuss the forms most often utilized for tax compliance. 

It is important to stress that both income and information reporting requirements exist for foreign interests, with information reporting most often required only for individual U.S. citizens/residents.  Severe penalties exist for

By: Patrick J. McCormick, JD, LLM

Today, we wrap up our three-part series on cryptocurrency by detailing the related foreign asset information reporting. Part I provided background and macro-level considerations. Part II covered the ambiguities on tax issues due to limited IRS guidance. This final installment, though far from our last post on cryptocurrency issues,  addresses potential answers to open questions and additional prospective issues.

Cryptocurrency Moving Forward

Though the IRS has not issued additional guidance regarding cryptocurrency since 2014, it has focused significantly on cryptocurrency in other ways – specifically, to ensure income associated with cryptocurrency is

PHILADELPHIA – Drucker & Scaccetti, the region’s premier tax planning and consulting firm, is pleased to announce that Patrick J. McCormick, JD, LLM, has joined its team as a Principal focusing on international taxation and related issues for domestic businesses and individuals.

“I’m happy to be a part of the D&S team and look forward to helping grow its international practice,” says McCormick. “The opportunity to work with such a talented team of CPAs, attorneys and advisors, all dedicated to tax solutions for clients, is exciting.”

Prior to joining D&S, Patrick was an attorney at a New Jersey-based law firm, where he created, developed and led its international practice. He worked on

By: Dan Marques, CPA, MT

After years of speculation by tax professionals, the IRS announced on March 13, 2018, that the 2014 Offshore Voluntary Disclosure Program (OVDP) will end on September 28, 2018.  What does this mean for you?  If you have undisclosed foreign financial assets and you’re concerned with the potential for criminal prosecution, you will no longer have any available option for leniency after September 28, 2018

Background

The first IRS OVDP was launched in 2009.  The 2009 program allowed taxpayers to come forward and disclose the ownership of foreign assets and report the associated income.  The price to enter the program was a 20% penalty assessed on the highest