“Swiss Bank Coughs up $122.9 Million After Aiding US Tax Cheats

The U.S. justice department has recently announced that UBS, Switzerland’s largest financial institution, has agreed to pay $122.9 million to settle charges related to helping U.S. citizens hide billions of dollars in assets from the IRS. This is the latest in a string of similar settlements, after ongoing investigations by both the U.S. and Switzerland into the illegal practices of Swiss banks. In 2008, UBS was the first Swiss bank to face criminal charges related to its involvement in helping US citizens evade taxes. UBS will pay the fine in a four-part settlement with the United States and will also cooperate in helping to identify other banks that may have been involved in similar schemes. UBS has agreed to provide information about how its bankers marketed US clients with offshore accounts in Switzerland, and evidence of how these clients used UBS accounts to hide assets from the IRS. UBS has also agreed to pay a fine to the U.S. government for its involvement in the illegal arrangements with U.S. clients, as well as to change its practices as part of the settlement. The case against UBS has had far-reaching implications for U.S. citizens with Swiss bank accounts, as the US government has been able to use information provided by UBS to build other cases against those accused of tax evasion. With UBS, the US government has sent a strong message that hiding assets overseas is illegal, and those who do so face serious penalties. The settlement between UBS and the U.S. serves as a reminder for all taxpayers about the importance of reporting all income and paying all taxes due. U.S. citizens who are facing charges of tax evasion should seek the help of a qualified tax attorney in order to ensure they are complying with all IRS regulations. The U.S. justice department has recently announced that UBS, Switzerland’s largest financial institution, has agreed to pay $122.9 million to settle charges related to helping U.S. citizens hide billions of dollars in assets from the IRS. This is the latest in a string of similar settlements, after ongoing investigations by both the U.S. and Switzerland into the illegal practices of Swiss banks. In 2008, UBS was the first Swiss bank to face criminal charges related to its involvement in helping US citizens evade taxes. UBS will pay the fine in a four-part settlement with the United States and will also cooperate in helping to identify other banks that may have been involved in similar schemes. UBS has agreed to provide information about how its bankers marketed US clients with offshore accounts in Switzerland, and evidence of how these clients used UBS accounts to hide assets from the IRS. UBS has also agreed to pay a fine to the U.S. government for its involvement in the illegal arrangements with U.S. clients, as well as to change its practices as part of the settlement. The case against UBS has had far-reaching implications for U.S. citizens with Swiss bank accounts, as the US government has been able to use information provided by UBS to build other cases against those accused of tax evasion. With UBS, the US government has sent a strong message that hiding assets overseas is illegal, and those who do so face serious penalties. The settlement between UBS and the U.S. serves as a reminder for all taxpayers about the importance of reporting all income and paying all taxes due. U.S. citizens who are facing charges of tax evasion should seek the help of a qualified tax attorney in order to ensure they are complying with all IRS regulations.