Form 14653 certifies an expat’s non-willfulness in case of under-reported income. It is a primary criterion of eligibility for the streamlined foreign offshore procedure.
After the passage of the Foreign Account Tax Compliance Act in 2010, one of the most popular tax evasion strategies was finally weakened. By approving this law, Congress established reporting criteria for international banks whose customers are American citizens. Namely, each bank that belongs to a country that accepted FATCA is required to look for U.S. persons. If they find them, they have to confirm their residency, U.S. birthplace, and report all of their assets. The summary of their belonging is given to the U.S. Department of Treasury.