Archive for March, 2012

Filing Fraudulent Income Tax Return: Mississippi Man Pleads Guilty

Saturday, March 31st, 2012

Thelbert Lamont Lesure, 40, of Holly Springs, Miss., pleaded guilty to count one of knowingly preparing and transmitting a fraudulent tax return to the IRS. Lesure was released on a pre-existing bond pending sentencing, which will take place following the completion of a presentence report. At sentencing, he faces up to five years in prison and a fine of up to $250,000.

Family of Hip Hop Label Sings IRS Blues

Friday, March 30th, 2012

Once again, we have celebrities in the news facing tough IRS problems.  The most recent failure to file tax case involves the sons of the late Sylvia and Joe Robinson who in the late 70’s formed the Sugar Hill Records label and created hip-hop’s first commercial hit, the Sugar Hill Gang’s “Rapper’s Delight.” According to an NJ.com article entitled From ‘Rapper’s Delight’ to tariff-collector fight: sons of hip-hop pioneers face
[Read More]

Offshore Banking-Swiss Tax Evasion Advisors Indicted

Friday, March 30th, 2012

The latest chapter of the IRS versus the Swiss bank saga shows just how far some Swiss bankers are willing to go to protect assets of their wealthy American clients from IRS detection. A Bloomberg article Swiss “Tax Evasion Advisers” Hid Assets, Used Kids reports on two recently indicted Swiss tax evasion advisors and their role in helping U.S. clients hide hundreds of millions of dollars from tax authorities using
[Read More]

5 Things You Need to Know About Business Tax Relief

Friday, March 30th, 2012

It’s no secret the IRS is cracking down on small businesses with unpaid payroll taxes and past due employment taxes. If you are in need of business tax relief, here are 5 things you need to know:
#1: Understand the gravity of your situation. The IRS views unpaid payroll taxes and unpaid employment taxes as theft, and they carry severe consequences. Aside from penalties (33% plus interest at 16
[Read More]

Income Tax Evasion by Nevada Businessman – Pleads Guilty!

Thursday, March 29th, 2012

A man who operated a nightclub in Carson City, Nev., and two Laundromats in Reno, Nev., has pleaded guilty to tax evasion.
According to the plea agreement, from 2005 to 2007, Bradley H. Herndon, 54, operated three restaurants and two Duds and Suds Laundromats in Reno, as well as the Club JB nightclub in Carson City. Herndon was responsible for many of the daily business activities, including maintaining, collecting and reporting
[Read More]

IRS Tax Levy-Avoid Them At All Costs

Thursday, March 29th, 2012

As we are in the tax day homestretch, I have noticed a hefty percentage of articles in the financial pages that naturally have to do with taxes.  A series by Forbes’ Kelly Phillips Erb Taxes: A-Z offers insight into tax issues that many might be facing as they are tackling (or avoiding) their yearly tax obligation.
Her article L is for Levy highlighted the IRS levy and those who avoid the
[Read More]

Tips from the Pros: How to Handle an IRS Audit

Thursday, March 29th, 2012

I came across a great IRS article this week posted on NASDAQ.com in which a former CPA and current tax attorney shares the lessons he learns when he received notification of an audit of his 2009 personal income taxes.
You see, even us tax professionals are subject to IRS audits just like anyone else.  You would probably assume a tax attorney would not be intimidated by an IRS audit, but in
[Read More]

Tax Fraud Enforcement-IRS Suggests Local Police

Wednesday, March 28th, 2012

The Obama Administration and the Department of Treasury are continuing their aggressive efforts to catch tax evaders.  One strategy they are considering is a collaboration between the IRS and local law enforcement agencies to help catch people committing tax fraud, tax evasion and identity theft crimes.  Canada Free Press journalist Jim Kouri wrote an article entitled IRS may draft cops to catch tax cheats, official tells Senate to report on
[Read More]

MF Global Farmers Get Tax Relief from IRS

Wednesday, March 28th, 2012

The IRS has announced it will give needed tax relief to farmers who could not properly file their taxes due to not receiving their 1099 by the March 1 deadline from the now defunct MF Global.  A Reuters article entitled IRS Waives Fines for Farmers Missing Tax Info from MF Global reports that farmers who underreported their taxes because of missing information from MF Global will not be penalized.
Run by
[Read More]

IRS Audits of Wealthy Taxpayers Are Paying Off

Tuesday, March 27th, 2012

In case you haven’t noticed, the IRS is doing quite well collecting taxes from wealthy Americans. An article in the LA Times by Tiffany Hsu titled IRS collected $2.4 trillion in taxes, audited more multimillionaires demonstrates how IRS audits of millionaires has helped to contribute to the first revenue increases the IRS has seen since 2008.
From October 2010 through September 2011, the IRS collected $2.4 trillion in taxes from 234
[Read More]

Prevent Tax Scams-Abuse of Charitable Deductions

Monday, March 26th, 2012

As April 17th draws near, it’s important that taxpayers have information to prevent any IRS tax issues from occurring to them. In a previous blog post called IRS Warns of Dirty Dozen Tax Scams, I highlighted in detail the top four most common tax scams circulating throughout the tax system so that our readers would not fall victim to “IRS deals” and false promises that could ultimately hurt their
[Read More]

Eight Counts of Tax Evasion by Michigan Man; Facing Lengthy Prison Sentence

Monday, March 26th, 2012

Following a three-day trial and two hours of jury deliberation, a Michigan man faces a possible lengthy prison sentence after being convicted of eight counts of tax evasion.
According to evidence presented at trial, during the 2001 through 2008 tax years, George Balcewicz, III, 44, of Lapeer, Mich., earned taxable wages totaling more than $569,000 through his employment as an electrician.
In attempting to evade his taxes, Balcewicz provided his employers with
[Read More]

Tax Resolution Expert-Five Reasons to Hire One

Sunday, March 25th, 2012

While taxpayers are allowed to represent themselves before the IRS, it doesn’t mean they should. There are instances where hiring a tax resolution expert such as a tax attorney or certified tax resolution specialist is highly recommended especially if your personal or business tax problems are too large, complicated and risky to handle on you own.
For example cases that involve IRS audit, IRS criminal prosecution, payroll/corporate tax issues and IRS
[Read More]

Income Tax: Wars, the Supreme Court and Donald Duck

Friday, March 23rd, 2012

“How the U.S. wound up with the income tax is the story of two wars, a Supreme Court justice on his death bed, and Donald Duck” begins an article from NPR’s Planet Money Team entitled From Abe Lincoln to Donald Duck, the Story of the Income Tax. This interesting article illuminates the obstacles income taxes faced so that ultimately every citizen was responsible to pay their share to help the
[Read More]

Large Tax Bill and No Money: How Can I Pay My Tax Debt?

Thursday, March 22nd, 2012

We help clients solve tax problems every day at Tax Resolution Services! We wanted to share this question from a tax client (and our answer) because it is a situation that many people may find themselves in:
Question: I’ve really screwed up. Before the recession, I followed some bad tax advice, and now I owe quite a bit of money in back taxes. And that’s not all. The economy has
[Read More]