A company which buys, repairs, reconditions, and resells used automobiles was forced to pay taxes in 2007 because its workers met all the requirements necessary to be taxed as employees. The company in question consists of a President, who is the sole shareholder, Employee 1, who serves as the secretary and treasurer, and Employee 2, […]

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After 21 years on the run, fugitive Francisco R. Legaspi was sentenced to 21 months for aiding and assisting in the preparation and presentation of false tax returns and for failing to appear for sentencing on tax charges. According to a Department of Justice news release, Judge William H. Orrick of the US District Court for […]

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In a September 24 news release  the Internal Revenue Service (IRS) stated that it has received reports from “multiple countries and continents” that scam artists posing as the IRS have tried  to get foreign financial institutions to hand over sensitive account information related to the Foreign Account Tax Compliance Act (FATCA). FATCA, in effect since […]

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On September 16, the Treasury Inspector General for Tax Administration (TIGTA) conducted an audit of the Internal Revenue Service’s (IRS’s) Small Business/Self-Employed Division and discovered a conflict between procedures relating to what actions IRS examiners are allowed to take in the 10 business days after a taxpayer’s request to consult with a representative. In response, […]

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Over the past two years, the number of US citizens who have chosen to renounce their US citizenship has gone up tremendously, from a total of 932 individuals in all of 2012 to 2,999 in 2013 and now 1,577 in the just the first quarter of 2014. As a result, on August 29, 2014 the […]

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On September 18, the Supreme Court of Nevada ruled that the California Franchise Tax Board (FTB) is immune from punitive damages under Nevada law for intentional torts and bad-faith conduct. These damages had been imposed as a result of an audit of the state tax returns of Gilbert Hyatt, inventor of the microprocessor. After learning […]

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Rupanjali Snowden took out a $575 payday loan from Check Into Cash (CIC) of Washington in order to make ends meet for her and her daughter. Before the payment was due, Snowden put a stop payment on the check and advised CIC that she was thinking about filing for bankruptcy. In response, CIC told her […]

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In June, the IRS released a new form, IR-2014-73, which provided major changes in its offshore voluntary disclosure programs (OVDP) by offering new options to help both taxpayers residing overseas and those residing in the US. You can find descriptions of the specific eligibility requirements for the streamlined procedures for non-US residents and US residents. […]

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On September 9, Judge Raymond P. Moore of the US District Court for the District of Colorado sentenced Jerold R. Sorenson to 18 months in prison for obstructing an IRS investigation into a tax avoidance scheme involving $2.3 million in tax losses. According to US Attorney John Walsh of the District of Colorado, Sorenson obstructed […]

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The Internal Revenue Service (IRS) plans to begin speeding the issuance of identity protection personal identification numbers (IP PINs) now that the Agency is less worried about the potential risk involved, according to an IRS official. Mary Howard, director of the Office of Privacy, Governmental Liaison and Disclosure, said on August 12 that the IRS […]

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