Posts Tagged ‘IRS penalties’

U.S. Investigates Swiss Bank Rahn Bodner for Secret Accounts

Tuesday, September 17th, 2013

Another Swiss bank is experiencing the wrath of the U.S. Government’s focus on offshore tax cheats and revenue collection. A Reuters article titled: Another historic Swiss bank under U.S. tax spotlight reports that Swiss private bank Rahn & Bodmer is under investigation by U.S. authorities as part of a lengthy U.S. Swiss dispute over tax evasion.
The article provides a brief history of Rahn & Bodmer:

It is an old line Swiss
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IRS Tax Liens-How Often Are they Wrong?

Friday, September 13th, 2013

Tax liens can be filed by state and local taxing authorities to enforce collection activity for back taxes owed; when the IRS files a lien against someone, its serious business. However, after reading a recent Forbes article titled: “Many Tax Liens Are Wrong in DC, But How About IRS?” it appears that when it comes to property seizures, the IRS has fewer errors than others. Case in point: The Washington
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Tax Policy Study Shows More Americans Paying Taxes

Monday, September 9th, 2013

About this time last year one of the biggest tax news stories centered around a 2009 Tax Policy Center (TPC) report that showed 47 percent of citizens were not paying taxes. According to a Don’t Mess with Taxes, Kay Bell in an article titled: “More Americans are paying federal income,” recent analysis by TPC (a joint venture of the Urban Institute and Brookings Institution), and shows that the 47% group
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Tax Problems-Michael Jackson Estate Gets Assessed by IRS

Tuesday, September 3rd, 2013

There are ways to value the worth of tangible items like real estate or cars for estate tax purposes. However, placing a dollar amount on the image of a celebrity is a more complicated and disparaging process as the estate of the late Michael Jackson is finding out. An NBC News Business article titled: “What’s Michael Jackson’s image worth? A $434 million question for the IRS“ reports on the giant
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Cayman Island Tax Haven No Longer Secret Due to FATCA

Wednesday, August 28th, 2013

First it was banks, now it is the offshore tax havens like the Cayman Islands who will no longer secretly shelter the assets of wealthy Americans. A Tax Connections article titled: “Caymans Makes it Tougher for Wealthy to Hide Money!” states that the Cayman Islands, a major financial center and home to operations for dozens of banks, funds and wealth-management entities, has made an agreement with the U.S. that it
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IRS Help for Innocent Spouse Victims

Thursday, August 15th, 2013

I came across a Forbes article this week that should be good news for those folks claiming or who have already claimed the Innocent Spouse Defense. The article by Tax Girl Kelly Phillips Erb titled: IRS Proposes to Permanently Ease Restrictions for Innocent Spouse Relief, reports that the IRS proposes to do the following:

Extend the amount of time taxpayers can apply for equitable relief through an innocent spouse application. Under
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Tax Relief Weekly News Round-Up: Top Tax Stories

Friday, July 26th, 2013

Happy Friday!
The cases and stories that caught our attention this week ranged from offshore tax evasion and estate tax issues, to a prison sentence for failing to file tax returns and July’s Tax Client of the Month.

Estate/IRS tax issues:
Proof that the IRS is going after wealthy Americans is evidenced in the stories of large estates receiving massive tax bills from the IRS. The post Tax Problems-Pohlad Estate
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Businessman Pleads Guilty to Hiding Offshore Accounts

Monday, July 22nd, 2013

In a previous blog post, I noted that since 2009, the IRS has collected $5.5 billion in unpaid taxes and IRS penalties through the amnesty programs it offered. With offshore tax collection a major government focus, it’s hard to imagine anyone attempting to conceal offshore assets. Yet a recent article by Accounting Today titled: “Businessman Pleads Guilty to Not Declaring Israeli Bank Account on Tax Return” reports on a man
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Swiss Adopt Plan to Cooperate with U.S. and Avoid Charges

Monday, July 15th, 2013

For anyone who still thinks that hiding money offshore in a Swiss bank account is a good idea, this next bit of news might have you reconsidering that notion. An article by USA Today titled: “Swiss seek to avert U.S. charges against banks” reports that Switzerland has finally adopted a plan that allows banks to hand over financial data to U.S. authorities seeking information about wealthy Americans suspected of offshore
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What to Do if You Missed June 30 Business Tax Deadlines

Wednesday, July 3rd, 2013

April 15 is not the only tax filing deadline taxpayers need to be aware of. Tax expert Eva Rosenberg, aka TaxMama® reminds us in a post titled: Looming Deadlines that business owners changing employee classification and those with offshore bank accounts had until June 30th to file reports with the IRS in order to avoid hefty IRS penalties and fines.
Here is the important tax information TaxMama mentions:
Offshore bank accounts and
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Rapper Fat Joe Goes to Prison on Tax Charges

Thursday, June 27th, 2013

The IRS problems facing Rapper Fat Joe (aka Joseph Cartegena) have finally caught up with him. A Daily Mail Celeb article titled “Rapper Fat Joe sentenced to four months in prison for failing to pay taxes on more than $1million in income“, reports that on Monday, the 42-year-old rapper was sentenced to four months in prison and a $15,000 fine for failing to file and pay taxes on more than
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Davidson Estate Battles IRS over Massive $1.9 Billion Tax Debt

Tuesday, June 25th, 2013

If you aren’t convinced the IRS is going after wealthy taxpayers – the story of Bill Davidson’s estate may convince you otherwise. An article in the Detroit Free Press titled: Estate of Bill Davidson Battles IRS over Massive $1.9 Billion Tax Debt reports that attorneys for the estate of the late William Davidson are taking the IRS to court claiming the agency is wrongly trying collect about $2 billion in
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Musician Jack White Pays 142k Tax Bill for Detroit Landmark

Tuesday, June 11th, 2013

If there were tax angels, musician Jack White would be one of them. According to the Detroit Free Press, it appears that the anonymous benefactor who recently paid $142,000 of the Detroit’s Masonic Temple’s back taxes was none other than musician Jack White. White played at the Masonic twice as a solo artist and seven times with his former band, the White Stripes.
The article mentions that White was born in
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IRS Tax Tips for Small Business Recordkeeping

Monday, June 10th, 2013

As a business owner, you are responsible for everything including recordkeeping – a task that small businesses sometimes don’t do very well. The IRS has released a very helpful recordkeeping FAQ webpage for small business and the self-employees that emphasizes the benefits of and reasons for good recordkeeping. Here are six practical FAQ’s the webpage highlights:
· Why should I keep records?
· What type of records should I keep?
· How long
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Offshore Bank Account Filing Deadline June 17

Monday, June 3rd, 2013

A recent IRS Press Release aims to remind taxpayers with foreign bank accounts and assets that their filing deadline to report them to the IRS is June 17, 2013. This applies to U.S. citizens and resident aliens, including those with dual citizenship who have lived or worked abroad during all or part of 2012 and military personnel outside the country. Also, some U.S. citizens abroad may be required to submit
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