IRS Turns to Informant in Offshore Tax Evasion Probe


Renzo Gadola was a former UBS Bank employee, having worked there from 1995 to 2008. He is also the informant to the IRS in their ongoing efforts to prosecute Swiss banks for assisting wealthy American taxpayers dodge taxes. For his role in the affair, Gadola could have been sentenced to a maximum of 16 years behind bars but was given five months' probation by a Florida federal judge and fined of $100 because the IRS sought for leniency on his behalf.

Gadola revealed some critical information that was hitherto unknown to the IRS – the role of cantonal (regional) banks including Basler Kantonalbank in abetting tax evasion by American taxpayers amounting to hundreds of millions of dollars in taxes. Gadola’s testimony will continue as a condition for his probation. According to a senior official of the US government, Gadola may now be called “to testify before a grand jury or at a trial against former clients, Swiss bank colleagues or other banks.”

Gadola got off easy compared to his erstwhile colleague, UBS ex-personal banker Bradley Birkenfeld, who was sentenced to 40 months jail in a rural Pennsylvania prison. Birkenfeld also helped wealthy American UBS clients evade taxes by hiding their taxable assets in Swiss bank accounts but subsequently turned informant on the matter. This led to a crackdown on UBS bank that later grew into a still-ongoing investigation by the US Justice Department on a dozen or so other Swiss banks.

Please see full article below for more information.

LOADING PDF: If there are any problems, click here to download the file.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Darrin Mish, Tampa Tax Attorney, The Law Offices of Darrin Mish, P.A. | Attorney Advertising

Written by:


The Law Offices of Darrin Mish, P.A. on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.

Already signed up? Log in here

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.