If taxpayers have unreported income from offshore activities, now is the time to report it.

The Offshore Voluntary Disclosure Initiative (OVDI) is available to all taxpayers until 30 June 2010.

Taxpayers may have unreported offshore income if they:-

• change their country of residence, or
• are unsure how to deal with investments in offshore funds or bank accounts
• thought that salary earned and taxed overseas (after 1 July 2009) was tax free

Persons with omitted foreign income may want to tell the Tax Office, but are concerned about the consequences of doing so, particularly the potential for criminal investigation.  This offer provides the following benefits:-

• approach can be anonymously
• the Australian Taxation Office will indicate whether it would investigate the arrangements for any potential criminal law breaches
• reduced shortfall penalties (zero if less than $20,000 income)
• concessions for the general interest charge

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