As published in the Winter Park/Maitland Observer, Thursday Jan. 3, 2012 Edition Offers... Read More »
Articles in category 'Tax Crimes'
IRS Paid Illegal Immigrants $4.2 Billion in Fraudulent Child Care Credits
Paul Caron reports that the rumor that illegal immigrants received $4.2 billion in fraudulent Child Care tax credit payments from the IRS is true: Following up on last week’s post, Illegal Immigrants’ Child Tax Credit Fraud Costs IRS Billions: FactCheck.org, Tax Credits for Illegal Immigrants: Q: Does the IRS pay billions in tax refunds to…
Read Full Article Categorized in: Credits, Tax CrimesDeath (by Suicide) and Taxes
Tony Nitti of Double Taxation has an interesting story about the tax evasion of a woman who sold suicide kits: [W]hile a 92-year old retired school teacher would never be confused with a legendary criminal of Capone’s ilk, Sharlotte Hydorn shared one thing with Big Al: it again took the IRS to put an end to Hydorn’s …
Read Full Article Categorized in: Tax CrimesShocker: Tax Preparation Outfit Named “Mo’ Money Taxes” isn’t Legit
James Maule tells the story of a tax preparation company called Mo’ Money Taxes: One of my readers alerted me to a story of which I had been unaware. It involves a tax return preparation enterprise that has created nightmares for its clients. The story involves a business called Mo’ Money Taxes, which is based…
Read Full Article Categorized in: News, Regulation of Tax Preparers, Tax Crimes, Tax TipsFormer IRS Agent & Tax Preparer Orders Hit on Former Clients
Fox News reports that a former IRS agent whose tax preparation business catered to a wealthy clientele is accused of ordering at least two former customers killed as they prepared to testify against him on fraud charges: Federal prosecutors say the targets were key witnesses against Steven Martinez, 50, who was charged last year with stealing …
Read Full Article Categorized in: News, Tax CrimesTop Twelve Tax Scams
The IRS has released (IR-2012-23) its annual “dirty dozen” list of tax scams. Here are the top 12 for 2012: Identity Theft Phishing Return Preparer Fraud Hiding Income Offshore “Free Money” from the IRS & Tax Scams Involving Social Security False/Inflated Income and Expenses False Form 1099 Refund Claims Frivolous Arguments Falsely Claiming Zero Wages…
Read Full Article Categorized in: Tax Crimes, Top Ten ListsGood Riddance: J.K. Harris Shuts Down
The second unscrupulous player in the tax resolution business has been forced to shut its doors as a result of thousands of consumer complaints and several government investigations. Paul Caron has the story: JK Harris Tax Resolution Firm Closes its Doors Consumer Affairs, JK Harris Suspends Operations, Prepares to Liquidate: Tax-Preparation Firm Swamped by Consumer…
Read Full Article Categorized in: News, Tax Collections, Tax CrimesThree Bombs Explode at Italian Tax Collection Office
Reuters reports that three explosive devices blew up outside the Naples offices of Equitalia, a state agency that collects overdue taxes and fines, breaking windows but injuring no one on Monday night, a police official told Reuters: Police said no group had claimed responsibility for the attack on the building on Corso Meridionale near Naples central…
Read Full Article Categorized in: Tax Collections, Tax CrimesTax Preparer Goes to Jail
WebCPA reports that a New Jersey tax preparer was sentenced Wednesday to six months in prison for preparing false tax returns for numerous clients that resulted in an estimated tax loss to the federal government of between $30,000 and $80,000. Newark-based tax preparer Carlo St. Jean, 40, pleaded guilty midway through the trial to seven of…
Read Full Article Categorized in: Regulation of Tax Preparers, Tax CrimesIt’s Easy to Steal IRS Refunds
Two years ago we addressed the IRS’s flawed refund procedure in False Refund Schemes and Backwards IRS Return Processing Rules. Today, Jay Weaver of the Miami Herald gives a distressing update in Scammers Steal IRS Refunds with Ease: “We are seeing defendants once involved in other types of crimes [such as drug trafficking] getting involved in identity-theft schemes,…
Read Full Article Categorized in: Individual Taxation, IRS Procedure, News, Tax CrimesSupporters of Tax Scofflaw Ai Weiwei Expose Their Wee Wees
From Kelly Phillips-Erb aka TaxGirl: Talk about the naked truth. Fans of beleaguered artist Ai Weiwei have tapped the power of the internet to show their support… by posing naked. Ai Weiwei was charged with tax evasion earlier this year, a charge that he claims is related to his outspoken criticism of the Chinese government.…
Read Full Article Categorized in: Satire, Tax CrimesTax Scam Promoter Gets 7 Years
Sharon D. Kukhahn, 62, of Tacoma, Wash., was sentenced Wednesday in a federal court in Tacoma, Washington to seven years in jail, three years of supervised release, and $856,681 in restitution after being convicted of conspiracy, four counts of tax evasion and corrupt interference with Internal Revenue law. WebCPA has the story: Kukhahn was convicted…
Read Full Article Categorized in: Absurd Tax Protester Arguments, News, Tax CrimesMore Swiss Banks to Disclose Names to IRS
Accounting Today reports that one of Switzerland’s oldest banks, Clariden Leu, has become the latest to cooperate with U.S. tax authorities in disclosing the names of American investors: The bank has begun notifying some of its U.S. customers that it plans to reveal their names and account information to the Internal Revenue Service, according to…
Read Full Article Categorized in: Announcements, International Taxation, IRS Audits, News, Tax CrimesIRS Continues to Battle Tax Refund Fraud
WebCPA reports that the IRS increased the number of fraudulent tax refund claims it detected and stopped during the 2011 tax-filing season by 171 percent over the previous year: As of April 30, 2011, the IRS had identified 775,723 tax returns with $4.6 billion claimed in fraudulent refunds and prevented the issuance of $4.4 billion,…
Read Full Article Categorized in: IRS Audits, IRS Procedure, Regulation of Tax Preparers, Tax CrimesBeware of Foreign Tax Evasion Promoters
Fortunately, the Milwaukee Brewers surprising loss to the St. Louis Cardinals in the National League Championship Series has not blurred Milwaukee lawyer and blogger Brian Mahany‘s judgment in tax matters.¹ Mahany, proprietor of the law blog, Due Diligence, gives some excellent advice to prospective offshore investors in Looking to Evade Taxes? There are Still Plenty of People Willing to…
Read Full Article Categorized in: International Taxation, IRS Audits, Tax CrimesQuarter of a Billion Dollar Tax Refund Scam Busted by IRS
WebCPA reports that a federal grand jury has indicted 55 individuals for participating in a massive income tax fraud scheme based in Southern California that illegally sought over $250 million in tax refunds. Special agents in the Internal Revenue Service’s Criminal Investigation division began rounding up the defendants last Friday in a takedown termed “Operation Stolen…
Read Full Article Categorized in: News, Tax Crimes