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EXECUTIVE FILESat present they have all expired. Althoughthey don’t say so, they are primarilydesigned to detect individuals who areintentionally committing tax evasion. Onthe other hand, individuals who have notbeen complying with US tax laws simplybecause of ignorance or neglect are usuallyable to file a voluntary (quiet) disclosureand get themselves up to date withoutincurring penalties. Six years of returns isthe standard disclosure period for thosewho can show they were not liable for anytaxes in the United States.US Tax Forms You Need to Know AboutThere can be many US forms to becompleted to get US tax filings up to date.Most come with significant penalties fornot filing or not filing on time. Some ofthe forms need to be filed every year evenif a US tax return is not required so theyneed to be in your disclosure package.US RETURNS AND COMPLIANCE FORMSRETURNNAMEForm 3520Annual Return to Report Transactions with Foreign Trusts andReceipt of Certain Foreign GiftsForm 3520A Annual Information Return of a Foreign Trust with a US OwnerForm 8833Treaty Based Return Position DisclosureForm 5471Information Return of US Person with Respect toCertain Foreign CorporationsForm 8891US Information Return for Beneficiaries of RRSPsForm TDF 90-22.1 Report of Foreign Bank and Financial Accounts (FBAR)FBAR ReturnsForeign Bank Account returns (FBAR)are not income tax returns but they mustbe filed by US citizens who own or havesignature authority over financialaccounts (bank accounts, investmentaccounts, RRSPs, RESPs, TFSAs etc.) outsidethe United States if the aggregate balanceof these accounts exceeds $10,000 atany time in the year. The return is normallyrequired to be received by the USDepartment of the Treasury in DetroitMichigan by June 30 each year.Financial accounts to be reportedinclude accounts owned by the individualor accounts where the individual has signatureauthority – which might includeaccounts of a private company, accountsfor a charity for which you have signingauthority or a trust or estate accounts ifyou are a trustee. This is perhaps themost seriously overlooked return not filedby US persons other than the tax returnitself.By now it should be obvious that not filingUS tax returns is a pretty serious matter.We have helped file a number of voluntarydisclosures and none of our clientshas ever been fined or penalized or evenhad to pay any income tax.Make sure that you give the IRS a fullexplanation of the reasons for not filingthat is truthful, complete and contains adetailed covering letter outlining your otherwisegood filing practices here in Canada.If you do, chances of a happy outcomeare high. If not, things could go terriblywrong. Because of the number of universitiesand high tech companies locatedlocally, there tends to be a high number ofAmericans in the area.XCOMMITMENTSince 1951, Schiedel ConstructionIncorporated has provided Designand Construction for Industrial, Commercial,and Institutionalbuildings. It is our continuedcommitment to work persistentlyand diligently to provide thehighest degree of professionalconstruction services possible. Youcan count on Schiedel Constructionfor Quality, Value and Performanceon your project.405 Queen Street WestCambridge, Ontario N3C 1G6(519) 658-9317www.schiedelconst.com34 | w w w . e x c h a n g e m a g a z i n e . c o m