HSBC Offshore Clients Under Investigation by the IRS for Tax Evasion

Posted in Press Releases on August 2, 2010 | Share

The U.S. Internal Revenue Service and Department of Justice have begun investigating HSBC account holders in an effort to find U.S. taxpayers who may have evaded taxes by hiding money with HSBC in India and Singapore.

Washington, DC (PRWEB) August 2, 2010 -- Following their successful investigations into offshore Swiss bank accounts, the U.S. Internal Revenue Service and Department of Justice, have begun similar inquiries into HSBC account holders in an effort to find U.S. taxpayers who may have evaded taxes by hiding money with HSBC in India and Singapore.

The U.S. government’s current investigation into HSBC follows its similar investigation into Swiss banking giant UBS. That investigation produced thousands of voluntary disclosures, whistleblowers and informants, all of which provided U.S. officials with enough information to continue their search for specific HSBC account holders as well as bank employees who may have aided in tax evasion.

Officials at the IRS and Department of Justice have said UBS was not the only bank they were investigating. International tax attorney, Kevin E. Thorn, managing partner of Thorn Law Group, concurs, adding “the HSBC investigation is only beginning and I urge these account holders to come into compliance.” Thorn adds, “This is part of an on-going global investigation by the IRS and DOJ to prevent taxpayers from using offshore bank accounts for evading taxes in the future.” Thorn observes that the IRS has been growing more persistent with their investigations, and has been aided by increased assistance of other nations’ tax regimes and efforts to help prevent tax evasion through the use of their country’s banks. Says Thorn, “We are seeing an unprecedented number of investigations and indictments of people with foreign bank accounts."

Thorn encourages all U.S. citizens, green card holders, and resident aliens should seek competent representation by a licensed tax professional if they are not familiar with their tax filing responsibilities. Failure to comply with the filing requirements may lead to substantial financial penalties and, in some cases, jail. While it is important for all U.S. taxpayers to comply with laws requiring the reporting of foreign bank accounts, Thorn emphasizes that people with offshore accounts at HSBC in India or Singapore should contact a tax attorney as soon as possible to make sure they are in compliance. Thorn advises that it is especially important for account holders in India and Singapore to come forward now and come into compliance before the Department of Justice and the IRS begin investigating them and, possibly, criminally prosecuting them.

For additional information on the news that is the subject of this release, contact Kevin E. Thorn or visit

About Thorn Law Group, PLLC:

Thorn Law Group, PLLC is a law firm dedicated to helping clients resolve complicated international tax and financial problems.

Kevin E. Thorn, Managing Partner
Thorn Law Group, PLLC

Thorn Law Group

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