Many Orange County taxpayers facing tax fraud accusations did not intentionally defraud the IRS. The most common way that Californians get into tax disputes is by taking the advice of a tax preparer who was either under qualified or intent on filing a false return in order to maximize his or her own profits. The unfortunate impact of this behavior is that the taxpayer is left solely responsible for the misdeeds of a predatory tax preparer.
A panel of circuit court judges recently affirmed the conviction of a former IRS agent for charges of mail fraud and making a false claim against the government. The IRS agent's charges arise out of her involvement in a company that promoted what the government considered a tax fraud scheme.
Most Orange County married couples file joint tax returns. Many married couples also have one partner who is primarily responsible for filing the joint return. This trust can be dangerous because a spouse can be held liable for the tax fraud committed by their partner.
Accusations of tax fraud are serious and can have long lasting personal and professional consequences. When the IRS accuses a taxpayer of tax fraud or tax evasion, substantial fines and criminal penalties may be looming. A growing number of Orange County taxpayers may have tax fraud charges filed against them due to no fault of their own, but due to the work of identity thieves.
The Treasury Appellate Authority has overturned a reduction in the length of the professional license suspension of a Florida CPA who pled guilty in 2008 to misdemeanor tax fraud. A 36-month license suspension and had won a reduction to 24 months on appeal.
Owners of the Chuy's Mesquite Broiler chain of restaurants in California and Arizona were arrested earlier this week, along with the company's accountant. Authorities have been investigating the three for some time due to tax fraud and illegal hiring practice allegations.It's a scene that reads like it could have been written for a movie: the culmination of a lengthy investigation involving U.S. immigration and Customs Enforcement officers, the Internal Revenue Service and Homeland Security led to the simultaneous raid of multiple Chuy's locations in California and Arizona by federal agents Wednesday. The purpose of this well-orchestrated event was to collect physical evidence against the two company owners and their accountant. An arraignment occurred in U.S. District Court in Tucson the day after the mass-raid, where each of the three were brought before the court on 19 separate accounts which included conspiracy to defraud the IRS, tax evasion and harboring illegal immigrants. There are nine Chuy's locations in Southern California.
This is Part 2 of our discussion of the top tax scams that taxpayers everywhere should avoid.
As long as there have been taxes, there have been tax scams. People are continually tempted to try to get away with something that they probably know will not work, or to believe someone touting a plan that sounds too good to be true, and is.
Supporting organizations, which are used to support specific charities, have had their tax exemptions revoked by the IRS in seventy-two instances in the last five years.
The Treasury Inspector General for Tax Administration (TIGTA), has concluded that the Internal Revenue Service (IRS) has not been sufficiently cooperative with prison officials at the state and federal levels in combating tax fraud perpetrated by inmates.