As published in the Winter Park/Maitland Observer, Thursday Jan. 3, 2012 Edition Offers... Read More »
Articles in category 'Unfiled Returns'
Singer Lauryn Hill Guilty of Failing to File Tax Returns
The Associated Press reports that singer Lauryn Hill pleaded guilty to failing to file tax returns on more than $1.5 million she earned from 2005 through 2007. Hill’s attorney said she plans on paying the back taxes, interest and penalties before she is sentenced in November. Ms. Hill claimed that she didn’t pay her taxes because “she withdrew…
Read Full Article Categorized in: Back Taxes, Criminal Tax, Unfiled ReturnsFile Your Unfiled Returns Before the IRS Does it for You
The New York Daily News reports that day-trader Marcos Esparza Bofill has been hit with a $172,000,000 IRS tax bill: He failed as a day-trader and barely survived in New York on a beer budget, but Marcos Esparza Bofill has been hit with a $172 million tax bill by the IRS. Esparza Bofill didn’t file an income…
Read Full Article Categorized in: Back Taxes, Blog Posts, Unfiled ReturnsIRS to Pursue Non Filing Businesses
Frequent readers of this blog know that we have maintained - ad nauseum, I am sure, for some – that all small businesses should incorporate or operate as an LLC in part because they are less likely to undergo IRS scrutiny. Well, if you can believe the Government Accountability Office GAO), this may all be about to change. WebCPA…
Read Full Article Categorized in: C Corporations, IRS Audits, S Corporations, Self-Employed Taxpayers, Unfiled ReturnsThe Rhythm Method of Tax Prepration
Listening to tax blogger Robert Flach explain his opposition to the electronic filing of tax returns and the general use of tax preparation software is like talking to a time traveller from the year of the Hula Hoop and the Slinky. Robert seems to be wholly unaware that America has been steadily moving toward a paperless society for more than a decade now. From the…
Read Full Article Categorized in: IRS Procedure, Regulation of Tax Preparers, Unfiled ReturnsIRS Stool Pigeons Rake in Whistleblower Dough
Ryan J. Donmoyer of Bloomberg BusinessWeek reports in Americans Seeking Reward Money Inform IRS on Others that: Americans seeking reward money are turning in neighbors, clients and employers they suspect of cheating on taxes to the IRS at a rate of nearly eight per day, the director of the agency’s whistleblower program said. Steve Whitlock, the…
Read Full Article Categorized in: Back Taxes, Tax Crimes, Unfiled ReturnsDo Tax Preparers Have a Duty to Examine their Client’s Receipts?
WebCPA reports that the IRS has issued these 6 tips when choosing a tax return preparer: Be cautious of tax preparers who claim they can obtain larger refunds than other preparers. Avoid preparers who base their fee on a percentage of the refund. Use a reputable tax professional who signs the tax return and provides a…
Read Full Article Categorized in: Deductible Expenses, Regulation of Tax Preparers, Unfiled ReturnsIRS has $1.3 Billion in Unclaimed Refunds
Here is the full text of IR-2010-24, dated March 2, 2010: Washington — Unclaimed refunds totaling more than $1.3 billion are awaiting nearly 1.4 million people who did not file a federal income tax return for 2006, the Internal Revenue Service announced today. However, to collect the money, a return for 2006 must be filed…
Read Full Article Categorized in: IRS Procedure, Unfiled ReturnsIRS to Target Bad Tax Preparers and their Clients
Roger Russell, Senior Editor of Accounting Today reports that the IRS will be targeting incompetent and fraudulent tax preparers and their clients in 2010 (emphasis added): Tax return preparers who claim inflated personal or business expenses, false deductions, unallowable credits or excessive exemptions on returns prepared for their clients are a major concern for the Internal Revenue…
Read Full Article Categorized in: Tax Crimes, Unfiled Returns12 IRS Non-Filer Enforcement Stories
Each year the IRS publishes examples of its non-filer enforcement actions. Below are the examples for fiscal year 2010. They are excerpts from public record documents on file in the court records in the judicial district in which the cases were prosecuted. Mississippi Businessman Sentenced for Failing to File Tax Returns and Criminal Contempt On…
Read Full Article Categorized in: Tax Crimes, Unfiled ReturnsForeign Bank Accounts: Who Must File Treasury Department Form 90-22.1
We have warned U.S. taxpayers about the looming crackdown on foreign bank account holders. As UBS investors well know, the push has already begun in earnest and we expect it to intensify as the Obama administration seeks to close the tax gap as a means of raising revenues to pay for it’s trillion dollar deficit spending. Stopping…
Read Full Article Categorized in: International Taxation, Tax Crimes, Unfiled ReturnsTax Crimes and IRS Criminal Referrals: What to Look Out For
If an IRS official believes that you might have broken the law or are currently breaking the law, he or she will refer the matter to the IRS Criminal Investigation Division (CID). The Top Criminal Violations Investigated by CID The most frequently investigated criminal violations are: Failure to file an income tax return Structuring transactions…
Read Full Article Categorized in: Tax Crimes, Unfiled ReturnsSex “Cells”: Porn Star Nailed for Failure to File, Gets Jail Time
Tax Girl, Kelly Phillips Erb, reports today that, Janine Lindemulder (a/k/a Janine James), a porn star who goes by the clever stage name “Janine”, learned her fate last week stemming from a guilty plea to tax evasion. Janine will spend six months in prison (plus one year of supervised release) after pleading guilty to a…
Read Full Article Categorized in: Court Cases, Tax Crimes, Unfiled ReturnsIRS Continues to Step-Up Enforcement Efforts, 2007 Statistics Reveal
In a recent post titled As Tax Gap Widens Expect IRS to Get Tougher on Non-Compliers we predicted that the IRS will in the next few years greatly accelerate it’s enforcement efforts. We cited two reasons for this: 1. The recent bailout of the banking industry and companies like AIG make it even more incumbent on…
Read Full Article Categorized in: IRS Audits, IRS Liens and Levies, Tax Collections, Unfiled ReturnsTaxpayers Blame Tax Preparers for Failure to File FBAR TD F 90-22.1
It should come as no surprise that taxpayers who get hit with the $10,000.00 penalty for failure to file Report of Foreign Bank and Financial Accounts (FBAR) are trying to get relief from the penalty by blaming their tax preparers for it. Here is an excerpt from a recently issued statement of the IRS Office or Professional Responsibility (“OPR”) titled Professional…
Read Full Article Categorized in: Individual Taxation, IRS Penalties, Unfiled ReturnsFree Will and the Non-Filing Syndrome Defense
To extinguish the free will is to strike the conscience with death, for both have but one and the same life. – William Ellery Channing- Joe Kristan of Tax Updates blogged about an interesting, new defense chronic non-filers can use when charged with intentionally failing to file their income tax returns: Lawyers for top Paterson administration…
Read Full Article Categorized in: Tax Collections, Tax Crimes, Unfiled Returns