If a company`s voluntary disclosure agreement or VDA is accepted, there are strict deadlines for obtaining all the benefits of the Voluntary Disclosure Agreement program. Keep in mind that a voluntary disclosure agreement is a legal agreement between the company and the state. Therefore, there are very clear results that need to be provided by the company, as well as a rigorous schedule as to when these items should be made available. Like almost everything in revenue and usage tax, these deadlines vary from state to state, but an experienced VAT advisor will know these deadlines and will be assured that his client will meet them. A disadvantage to the VDA process can occur if the company forwards the request directly to the tax authorities and not to an outside representative. At that time, the case was identified with the State, and if for some reason the company is not satisfied with the terms of the agreement, it would be extremely difficult to separate from the discussions with fiscal sovereignty. Tax authorities estimate that Blecke caused an income tax loss of more than $56,000 and a loss of tva of nearly $63,000. Blecke pleaded guilty to two offences, one vat-related and the other for tax evasion. Blecke`s conviction is scheduled for July. As part of his plea, Mr. Blecke agreed to reimburse the total amount it caused in lost revenue and revenue taxes. There are several pitfalls that a company should follow when it has a voluntary disclosure agreement.
The subject must come forward and request the VDA from a Member State before receiving requests, communications or audit notices from the State concerned. Some states limit these requests, communications or audit communications to the specific nature of the disclosed tax, while others extend it to all state-administered taxes. This is the most common misunderstanding about voluntary disclosure agreements. The key is that it is a « voluntary » confession… If the state contacts you on its own about certain tax breaches, the state does not see things as you voluntarily register. When a company evaluates its options for respecting tax sovereignty for non-submitted tax returns, a voluntary disclosure agreement or tax amnesty program can be a useful tool to provide assistance not only in previous years, but also prospectively.