Voluntary Disclosure Programs

Voluntary Disclosure Programs (VDPs) are initiatives offered by government agencies, often in tax or regulatory contexts, allowing individuals or businesses to report past wrongdoing, like unreported income or violations, without facing severe penalties. Participants usually gain a degree of legal protection and may only incur reduced fines or fees in exchange for coming forward voluntarily. These programs encourage transparency, help regulators identify and address non-compliance issues, and promote fairness by allowing those who disclose issues to resolve them. Ultimately, VDPs aim to foster cooperation between citizens and authorities while enhancing overall compliance.