US Citizens in New Zealand Hit With $3.6 Million FBAR Penalty

Two dual US-New Zealand citizens living in the latter country are facing government allegations of failing to report their interests in foreign accounts for a number of years, warranting penalties totaling more than $3.6 million.

James Barribeau and Cartherine Solomon of Christchurch, New Zealand, willfully failed to report their interests to the IRS from 2005 to 2012, the Justice Department said in a civil complaint filed Friday. The government assessed Barribeau $1.1 million in penalties and Solomon $2.5 million in penalties under 31 U.S.C. § 5321(a)(5), it told the US District Court for the District of Columbia.

Barribeau and ...