Skip to Main Content
 

Zhanna Ziering Comments on the Government's Third Circuit Brief in Bedrosian

April 26, 2018, Bloomberg BNA, Daily Tax Report: International

The government is appealing a September 2017 ruling from the U.S. District Court for the Eastern District of Pennsylvania that Arthur Bedrosian, the CEO of Lannett Co. Inc., was entitled to a refund of the FBAR penalty he paid for not disclosing a $2 million UBS account.

“I liked the district court's opinion because it was the first court that was willing to draw a line between recklessness and negligence,” Zhanna A. Ziering, a tax member at Caplin & Drysdale, Chartered in New York, told Bloomberg Tax. Ziering called the government's appeal a “risk” because it has so far won all the FBAR cases at the circuit court level and the Bedrosian case is very “fact-specific.”

. . .

No Excuse or Defense

. . .

“Based on the government's brief, the government is trying to get the circuit court to clearly adopt a move from ‘willfulness’ into ‘recklessness’,” Ziering said. “If the court agrees, a taxpayer's intent will become irrelevant.”

For the full article, please visit Bloomberg BNA’s website (subscription required).

Excerpt taken from the article “Pharma CEO ‘Reckless’ in Not Disclosing Swiss Account: Government” by Matthew Beddingfield for Bloomberg BNA.

________________________________________________

About Caplin & Drysdale
Having celebrated our 50th Anniversary in 2014, Caplin & Drysdale continues to be a leading provider of taxtax controversy, and litigation legal services to corporations, individuals, and nonprofits throughout the United States and around the world. We are also privileged to serve as legal advisors to accounting firms, financial institutions, law firms, and other professional services organizations.

The firm's reputation over the years has earned us the trust and respect of clients, industry peers, and government agencies. Moreover, clients rely on our broad knowledge of the law and our keen insights into their business concerns and personal interests. Our lawyers' strong tactical and problem-solving skills -- combined with substantial experience handling a variety of complex, high stakes, matters in a boutique environment -- make us one the nation's most distinctive law firms.

With offices in New York City and Washington, D.C., Caplin & Drysdale's core practice areas include:
For more information, please visit us at www.caplindrysdale.com.
Washington, DC Office:
One Thomas Circle NW
Suite 1100
Washington, DC 20005
202.862.5000
New York, NY Office:
600 Lexington Avenue
21st Floor
New York, NY 10022
212.379.6000

___________________________

Disclaimer
This communication does not provide legal advice, nor does it create an attorney-client relationship with you or any other reader. If you require legal guidance in any specific situation, you should engage a qualified lawyer for that purpose. Prior results do not guarantee a similar outcome.

Attorney Advertising
It is possible that under the laws, rules, or regulations of certain jurisdictions, this may be construed as an advertisement or solicitation.
© 2018 Caplin & Drysdale, Chartered
All Rights Reserved.