The focus of our practice is civil and criminal taxpayer representation, and whether in Stamford, Connecticut or elsewhere, the IRS has increased its focus on Bank Secrecy Act issues, and in particular has created three new types of agent:
- The Abusive Tax Avoidance Transaction (“ATAT”) Agent – IRM 4.32
- The Bank Secrecy Act (“BSA”) Examiner – IRM 4.26.6
- The Special Enforcement Program (“SEP”) Agent – IRM 126.96.36.199
When we represent taxpayers before the IRS or the Department of Justice Tax Division, we are usually focused on income, expenses and tax loss. Not so with these new agents. The focus here has now shifted to failing to comply with the Bank Secrecy Laws under Title 31, and the federal government’s assault on terrorism financing and money laundering.
All of a sudden we have found our clients caught in the IRS’s new focus on reporting compliance, and helping clients both deal with the government examiner and take the necessary steps to meet the compliance requirements of the Bank Secrecy Act and anti-money laundering program it is designed to force clients to follow. These steps may include:
- Creation of Internal Controls
- The designation of individuals responsible for coordinating compliance
- Providing training for personnel
- Having an independent review done to monitor the client’s program
Two industries in particular being targeted are car dealers and dealers in precious gems and jewelry.
Eric L. Green, Esq.
Convicer, Percy & Green, LLP
60 Long Ridge Road, Suite 202
Stamford, CT 06902
Ph. (203) 602-5550
Fax: (203) 286-1311