The U.S. IRS has published a practice unit on the Penalty for Failure to Include Reportable Transaction Information with Return. The process overview of the practice unit includes the following:
As part of the American Jobs Creation Act of 2004, Congress enacted IRC 6707A along with other penalty provisions related to the disclosure of certain transactions and the failure to report them properly on tax returns. The IRS, in carrying out its authority, requires taxpayers and certain third par…