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OMB Control No: 1545-2241	ICR Reference No: 202108-1545-012
Status: Historical Active	Previous ICR Reference No: 201803-1545-004
Agency/Subagency: TREAS/IRS	Agency Tracking No:
Title: Voluntary Disclosure Practice and Streamlined Filing Compliance Procedures
Type of Information Collection: Revision of a currently approved collection	Common Form ICR: No
Type of Review Request: Regular
OIRA Conclusion Action: Approved with change	Conclusion Date: 02/07/2022
Retrieve Notice of Action (NOA)	Date Received in OIRA: 09/30/2021
Terms of Clearance: OMB understands that the IRS is currently in the process of revising the methodology it uses to estimate burden and costs. OMB expects that future ICRs under this OMB control number will include dollar estimates of annual burden costs to taxpayers and the Federal government calculated using this revised methodology. Response to public comment provided during OMB review.

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	02/28/2025	36 Months From Approved	02/28/2022
Responses	16,569	0	474,569
Time Burden (Hours)	390,388	0	863,638
Cost Burden (Dollars)	0	0	0

Abstract: The IRS has two very different compliance paths for two very different populations of taxpayers (taxpayers who have exposure to criminal liability for tax and tax-related crimes and taxpayers who have non-willful international compliance issues). First, the Voluntary Disclosure Practice is a longstanding practice of IRS Criminal Investigation (CI). CI takes timely, accurate, and complete voluntary disclosures under consideration when determining whether to recommend criminal prosecution. A voluntary disclosure will not automatically guarantee immunity from prosecution; however, a voluntary disclosure may result in prosecution not being recommended. Form 14457 is used for all voluntary disclosures. This redesigned form is to be used by taxpayers to apply for the IRS-CI Voluntary Disclosure Practice (VDP). The form is submitted by the taxpayer in two parts. Part I is a preclearance request. Once a taxpayer receives preclearance from IRS-CI, they will submit Part II, the voluntary disclosure application. Versions prior to March 2019 were used by taxpayers to apply for the IRS Offshore Voluntary Disclosure Program (OVDP) that closed on September 28, 2018. Second, the Streamlined Filing Compliance Procedures are available to eligible taxpayers who can truthfully certify that their failure to report foreign financial assets and pay all tax due in respect of those assets resulted from non-willful conduct. Forms 14653, 15023, and 14654 relate to the Streamlined Filing Compliance Procedures. The IRS uses the data on Form 14457 in administering Criminal Investigation’s Voluntary Disclosure Practice. The use of information collected with respect to the Voluntary Disclosure Practice and the Streamlined Filing Compliance Procedures is a necessary for the Commissioner to use his enforcement discretion and authority to offer specific compliance paths with favorable penalty provisions under IRC § 7803(a)(2)(A) granting him the authority to “administer, manage, conduct, direct, and supervise the execution and application of the internal revenue laws or related statutes and tax conventions to which the United States is a party.” Additionally, IRC § 6001 requires taxpayers to retain records relating to tax liabilities and tax returns and is thereby related to the information collected by the forms used in the Voluntary Disclosure Practice and the Streamlined Filing Compliance Procedures.

Authorizing Statute(s): US Code: 26 USC 7803(a)(2)(A) Name of Law: Commissioner of Internal Revenue; other officials
US Code: 26 USC 6001 Name of Law: Period covered by returns or other documents

Citations for New Statutory Requirements: None

Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	86 FR 40138	07/26/2021
30-day Notice:	Federal Register Citation:	Citation Date:
	86 FR 53730	09/28/2021
Did the Agency receive public comments on this ICR? No

ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to Agency Discretion	Change Due to Adjustment in Estimate
Annual Number of Responses	16,569	474,569	-455,500	-2,500
Annual Time Burden (Hours)	390,388	863,638	-663,250	190,000
Annual Cost Burden (Dollars)	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Miscellaneous Actions

Burden decreases because of Program Change due to Agency Discretion: Yes

Burden Reduction Due to: Miscellaneous Actions

Short Statement: The IRS made changes to the forms in the collection, and certain forms are now obsolete due to the Offshore Voluntary Disclosure Program (OVDP) closing in September 2018. The OVDP was a subset of the larger voluntary disclosure practice (VDP). The subset program was closed, however there are forms being used in the macro level VDP. Form 14467 is now obsolete resulting in a reduction of burden of 500 responses and 500 hours. OVDP Submission Requirements, OVDP Penalty Computation Worksheet, and OVDP Foreign Account or Asset Statement have been removed, as these are also obsolete, further reducing burden by 456,000 responses and 642,500 burden hours. In addition, Form 14457 was significantly revised in order to accomplish the IRS’ goals relating to thorough preclearance and preliminary acceptance procedures for the voluntary disclosure practice. There is an increase of burden with the addition of 1,000 responses and 80,000 burden hours. For a decrease in burden under agency discretion of 455,500 responses and decrease of 722,500 burden hours. Form 14653 and Form 14654 responses and hours were updated to reflect the agencies most recent data. These changes resulted in a 2,500 response decrease and an 190,000 hour increase (update in agency estimates).

Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination. Yes

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination. Yes

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? No

Agency Contact: Steven Levine 737 800-7547 steve.b.levine@irs.gov

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