Additional Actions Are Needed to Address Non-Filing and Non-Reporting Compliance Under the Foreign Account Tax Compliance Act

The Commissioner, LB&I Division, should consider additional compliance actions for underreporters identified in its matching, including assessing penalties to taxpayers based on the variance amounts or conducting examinations on taxpayers who consistently underreport.

Establish procedures that would identify non-filers of Forms 8938 and encourage compliance of non-filers through examination or penalty assessments.

The Commissioner, LB&I Division, should consider expanding the scope of Campaign 975 to address noncompliance by the FFIs from IGA countries and follow through with compliance action on the identified IGAs.

Issue a notice to foreign countries with Model 1 IGAs that all the FFIs must collect and provide the TINs of U.S. individuals owning a foreign bank account.

Establish goals, milestones, and timelines for FATCA campaigns in order to determine whether the campaigns are effective in meeting their goals and affecting tax compliance.