"All You Need To Do Is File Your Delinquent FBARs"

Congress authorized the Form FinCEN 114 ("FBAR") filing requirement, and the draconian penalty of 31 USC 5321(a)(5)(C) for willful failure to file an FBAR, to curb evasion of United States income tax  by use of foreign accounts.  Intuitively, the 31 USC 5321(a)(5)(C) penalty ought not apply where the account owner owes no income tax on the account.  The Internal Revenue Service ("IRS") has recently confirmed that indeed this is the case.