Skimming cash off the top of your business only gets you in trouble.   Often people underestimate the eyes and ears of the IRS and think that they can get away with taking just a little home tax-free.  Most of these people get caught!  Unfortunately the IRS is not perfect either - sometimes people get caught for innocent mistakes too and if you find yourself in an IRS audit, you will need professional tax
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An Essex County, N.J., man who sells watches and other merchandise through Internet sites such as eBay pleaded guilty to filing a fraudulent tax return.
Jaime Virtucio, 59, of Bloomfield, pleaded guilty to subscribing to a false personal tax return. At his plea hearing, Virtucio admitted that he received payment from Internet sources, including PayPal and CPS Merchant Services, directly into bank accounts he controlled in return for merchandise he sold
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Although there never was a “good” time to cheat on taxes, now is worse than ever for taxpayers and tax preparers to file fraudulent tax returns. With the IRS getting more funding and 800 more agents to collect taxes, taxpayers and CPAs who deliberately report fraudulent information on tax returns will be hit with severe IRS penalties.
If the IRS detects and proves beyond a reasonable doubt that fraudulence was deliberate,
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Small business owners and sole proprietors have been identified as the largest group that is contributing to the increasing tax gap of $350 billion/year. It is extremely difficult for the IRS to investigate each small business owner to uncover tax evasion acts such as under-reporting income.
In the current economy, the astonishing yearly tax gap is alarming to policymakers who are desperately short of funds. They find that they cannot fulfill
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Nassau County, N.Y., Legislator Roger Corbin has been charged with filing false federal tax returns and making false statements to agents of the FBI and IRS.
According to the complaint, Corbin received 81 checks totaling approximately $226,000 from a developer between Feb. 22, 2005, and Dec. 31, 2007. Each of the checks was made payable to “Cash” and deposited into one of Corbin’s personal bank accounts. In interviews with special agents
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Lee B. Woodbury, 51, of Gilbert, Ariz., was sentenced to 18 months in prison and ordered to pay restitution of $97,232 after pleading guilty to willfully filing a false tax return. Until contacted by the IRS Criminal Investigation Division, Woodbury had not filed returns for tax years 1998 to 2001. He later under reported his income in returns. In total, the tax loss as a result of Woodbury’s willfully filing
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A revenue agent with the Internal Revenue Service has agreed to plead guilty to a federal tax fraud charge for filing a personal income tax return that claimed he suffered a loss in a real estate transaction when in fact he realized a substantial profit.
In a plea agreement, Jim H. Liu, 43, of Diamond Bar, Calif., agreed to plead guilty to subscribing to a false tax return — a charge
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Daniel L. French, of Akron, Ohio, was charged with three counts of attempting to evade his personal income taxes and two counts filing false income tax returns for a solely-owned corporation he operated in Macedonia, Ohio.
The first two counts allege French filed false returns for the years 2002 and 2003, which  listed deductions for corporate payments that were in fact disbursements for personal benefit.  These disbursements are alleged to be
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The president of a Chicago government relations and economic development firm was charged with filing a false federal corporate income tax return for allegedly underreporting his firm’s taxable income.
Illinois Development Services Corporation president Anthony B. Bruno, 56, was charged in a single-count criminal information alleging he filed a federal corporate income tax return for Gray & Associates for calendar year 2001 which stated that Gray & Associates’ taxable income was
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Shirley G. Graybill, 72, of North Haven, Conn., was sentenced to two years of probation — the first four months of which she must spend in home confinement — after pleading guilty to one count of making and subscribing to a false 2002 tax return.
According to court records, the Triple Diamond Foundation was an entity created by Graybill and her husband, Dale L. Graybill, purportedly to fund cancer research —
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A Texas woman faces up to three years in prison after pleading guilty to tax charges.
Donna J. Nelson, of Sulphur Springs, Texas, pleaded guilty to false income tax reporting. According to information presented in court, Nelson admitted to understating her 2006 income by $136,100 on her Form 1040 U.S. Income Tax return. Other court documents also showed she had similarly underreported earnings for tax years 2003 through 2007, totaling $479,781.36.�
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Thomas B. Parker, 64, and his wife Margaret A. Parker, 65, were each found guilty of seven counts of filing false tax returns and five counts of failure to file a tax return following a two-day jury trial. The couple caused a potential tax loss to the government of $106,564.
According to court records, the Parkers filed amended U.S. Individual Income Tax Returns for 1993, 1995, 1996, 1997, 1998, 1999 and
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Melvin Buckley, 77, of Gothenburg, Neb., was fined $30,000 and sentenced to five years of probation for filing a false income tax return for the year 2001. Buckley was charged with filing a false income tax return for 2001 by reporting sales of livestock from his ranch business which he reported to be $191,441 when, in fact, the sales were determined to be approximately $393,142.

You read in newspapers about big-name celebrities caught violating U.S. tax law. But beware: You’re at risk too.
By Michael Rozbruch
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Celebrity lands in tax trouble.
That story always finds a way into your newspaper or your favorite news website.
After all, who hasn’t read about Brazilian race-car driver and “Dancing with the Stars” winner Helio Castroneves?
The 33-year-old faces trial in Miami on charges he failed to report $5.5 million in income from 1999
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Darrell Forest May, 58, of Phoenix, was sentenced to five years of probation and fined $20,000 after pleading guilty to tax evasion. From July 2000 to December 2005, May attempted to evade the payment of income taxes for tax years 1998, 1999 and 2000. To conceal his income and evade payment of taxes, among other ways, he filed false W-4 forms in which he claimed “exempt” status and did not
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