Countries around the world are calculating their respective tax gaps and increasing their investment in civil tax enforcement as information regarding offshore tax evasion takes center stage with the surge of whistleblowers and data leaks. At the same time, law enforcement officials are reviewing information obtained from various sources to identify individuals and entities engaged in tax evasion and to pursue criminal investigations.
With this looming threat of discovery, taxpayers are considering voluntary disclosure programs to avoid the increasingly severe consequences of non-compliance, and these submissions provide additional detailed information to government officials. As the walls close in, those intent on evading their tax and reporting obligations are finding it more difficult to identify and utilize tax havens. Still, where there is a will, someone will always find a way. Ciraolo discussed this new era of global tax enforcement and its impact on taxpayers, their advisors, and third party gatekeepers, including banks and other financial service providers.