The Wall Street Journal recently wrote about repercussions of the U.S. government’s crackdown on taxpayers seen to be avoiding taxes on money held in bank accounts on foreign soil. At what point, the Journal writer asks, does a fine violate the Constitution’s prohibition against excessive fines?
A recent case spotlights the issue, with a $3.5 million fine being imposed over an $1.7 million Swiss account.
Gunster attorney Lu-Ann Dominguez represents the 86-year-old defendant, and was quoted in the story as saying the case is “garden-variety” and the defendant is “no more culpable than others” in similar circumstances.
Read the entire article (subscription required): When are tax penalties excessive? (The Wall Street Journal, 7/12/13)