IRS investigation exposes illegal use of offshore bank accounts
Offshore bank accounts have created substantial buzz in the financial world due to the IRS's recent probe into tax evasion by US MasterCard and American Express credit card holders. In one of the largest offshore investigations ever by the IRS, thousands of credit card accounts were investigated for unreported income in banks in the Cayman Islands, Antigua, and Switzerland. An affidavit filed in conjuction with the investigation says the U.S. Treasury loses an estimated $70 billion yearly from individual taxpayers who use offshore accounts to evade taxes.