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The Substitute for Return: The IRS’s Secret Enforcement Weapon
“Nothing concentrates a man’s mind like the prospect of being hanged in the morning.” – Samuel Johnson – 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…
Read Full Article Categorized in: IRS Audits, IRS Procedure, News, Tax CollectionsWhite House Vows to Intensify IRS Collection Aggressiveness to Close $300 Billion Tax Gap
CNNMoney.com reports in an article titled Obama Tax Panel on Treasure Hunt, The administration said this week it will form a task force to propose ways to simplify the tax code, reduce evasion, close loopholes and make changes in corporate breaks. One overarching end-goal: Raise revenue. A major focus for the task force will be…
Read Full Article Categorized in: Announcements, Tax CollectionsWall Street Journal: “Don’t be an Ostrich, Do Something About Your Tax Problem Now.”
Tom Herman of the Wall Street Journal writes an interesting article titled How To Confess to Being a Tax Cheat and tells guilty-minded taxpayers what to do if they have a tax problem and are not an Obama Cabinet appointee. First, he says, if you know you made a mistake on your tax return you may file an…
Read Full Article Categorized in: Back Taxes, Individual Taxation, IRS Audits, IRS Penalties, Tax Collections, Tax CrimesBrace Yourselves Non-Filers and Delinquent Taxpayers: IRS to Target Non-Compliers
In previous blog posts titled Tax Gap Widens Expect IRS to Get Tougher on Non-Compliers and IRS Continues to Step Up Enforcement Efforts, 2007 Statistics Reveal we wrote about the Obama administration’s plan to close the tax gap. Here is what Mike Godfrey of Tax News.Com wrote about the IRS’s plan to close the international portion of the…
Read Full Article Categorized in: Back Taxes, Individual Taxation, International Taxation, IRS Audits, Tax CollectionsAs Tax Gap Widens Expect IRS to Get Tougher on Non-Compliers
The IRS defines “Tax Gap” as, [T]he difference between the amount of tax that taxpayers should pay and the amount that is paid voluntarily and on time. The tax gap can also be thought of as the sum of non-compliance with the tax law. There are 3 components of the Tax Gap: Nonfiling; Underreporting; and…
Read Full Article Categorized in: IRS Audits, News, Tax Collections, Tax CrimesBrotherly Love in Philadelphia: Non-Filer Gets 2 and 1/2 Year Sentence
The brother of former Philadelphia mayor, John Street, was sentenced today to 2 and 1/2 years in prison for failing to file his federal income tax returns from 2001 through 2004. Prosecutors proved that T. Milton Street earned over 3 million dollars during the period of his non-filing and that he willfully failed to file his…
Read Full Article Categorized in: Back Taxes, Tax Crimes, Unfiled Returns
