Vince Nardone: Tax and Controversy

IRS - Announces Leading Scams for Taxpayers to Avoid

The Internal Revenue Service recently posted its yearly list of scams for taxpayers to avoid.  The IRS calls it their "Dirty Dozen."  I have attached the list below.  The IRS announced that "Taxpayers should be wary of scams to avoid paying taxes that seem too good to be true, especially during these challenging economic times."  This is good advice from the IRS.  I have dealt with a number of clients that come to me and say: my prior tax attorney or my current tax return preparer told me that I can do...  But, when you look at the advice given, you have the following thoughts: (i) the client is not giving you the full story as to the advice; (ii) the client did not give the person providing the advice the whole story; (iii) something in between (i) and (ii) is true; or finally (iv) the person providing the advice truly believes what was articulated to me by the client.  Most of the time, the truth falls somewhere between (i) and (iii).  But, there are those rare occasions where someone is trying to scam the IRS and the taxpayers must be aware of them, and use common sense.  As the IRS said, if it is too good to be true, then it is too good to be true.  Seek compentent advice from someone that other professionals advise you to use.

Download Beware of IRS’ 2009 “Dirty Dozen” Tax Scams - April 20, 2009

  

Justice Department Highlights its Fiscal 2008 Tax Enforcement Results

The Tax Division announced highlights of its work during the past year regarding its enforcement efforts.  The Tax Division of the Department of Justice works with the Internal Revenue Service to pursue and enforce the revenue laws.  See the attached.

Download Justice Dept - Criminal Tax Enforcement

IRS - Tax Return Errors

The Internal Revenue Service (IRS) recently announced the most common errors made on tax returns.  Please see the document below for a list of those errors by simply clicking on the link.  The IRS lists errors such as: (i) failing to include your social security number and (ii) misspelling a dependent's last name.  Why is it important to avoid these errors?  Well, it will certainly cause the processing of your tax return by the IRS to be slowed.  More importantly, however, by making errors on your return you expose yourself to a higher risk of being audited?  Take the time to review your return and avoid those common errors identify on the document below. 

Download DOC