Skip to Main Content
 

Tax Notes Quotes Zhanna Ziering: Government Appeals FBAR Loss in Bedrosian

November 20, 2017, Tax Notes

The U.S. government gave notice of its eleventh-hour appeal to the Third Circuit in Bedrosian November 17, challenging a significant recent litigation loss related to the failure to file a foreign bank account report.

The importance of the case is widely understood in the tax community and Zhanna Ziering of Caplin & Drysdale was not surprised by the government’s appeal. After a series of government successes in litigating against willful FBAR violators with bad facts, practitioners have argued that Bedrosian potentially represents a move away from de facto strict liability and to a closer examination of circumstances surrounding particular taxpayers.

“The court’s decision in Bedrosian has finally pushed back on the government’s approach to FBAR cases. The court dissected the statutory requirements and zeroed in on what occurred at the time of the FBAR delinquencies rather than on the prior behavior. This was a fact-specific win for the taxpayer," Ziering said, adding that the government could always argue that the case was limited to its facts going forward. She added that a government win at the appellate level would return FBAR litigation to the previous state of play, where it was difficult for a taxpayer to overcome a presumption of knowledge and intent based on a signature on a return. “But, if the Third Circuit upholds the district court’s decision, the government’s hazards will significantly magnify,” Ziering argued.

To view the full article, please visit Tax Notes’ website (subscription required).

Excerpt taken from the article “Government Appeals FBAR Loss in Bedrosian” by Andrew Velarde for Tax Notes.

________________________________________________

About Caplin & Drysdale
Having celebrated our 50th Anniversary in 2014, Caplin & Drysdale continues to be a leading provider of legal services to corporations, individuals, and nonprofits throughout the United States and around the world. We are also privileged to serve as legal advisors to accounting firms, financial institutions, law firms, and other professional services organizations.

The firm's reputation over the years has earned us the trust and respect of clients, industry peers, and government agencies. Moreover, clients rely on our broad knowledge of the law and our keen insights into their business concerns and personal interests. Our lawyers' strong tactical and problem-solving skills -- combined with substantial experience handling a variety of complex, high stakes, matters in a boutique environment -- make us one the nation's most distinctive law firms.

With offices in New York City and Washington, D.C., Caplin & Drysdale's core practice areas include:
For more information, please visit us at www.caplindrysdale.com.
Washington, DC Office:
One Thomas Circle NW
Suite 1100
Washington, DC 20005
202.862.5000
New York, NY Office:
600 Lexington Avenue
21st Floor
New York, NY 10022
212.379.6000

___________________________

Disclaimer
This communication does not provide legal advice, nor does it create an attorney-client relationship with you or any other reader. If you require legal guidance in any specific situation, you should engage a qualified lawyer for that purpose. Prior results do not guarantee a similar outcome.

Attorney Advertising
It is possible that under the laws, rules, or regulations of certain jurisdictions, this may be construed as an advertisement or solicitation.
© 2018 Caplin & Drysdale, Chartered
All Rights Reserved.

Related Professionals

Related Practice Area(s)