Unreported Income: Fraudulent Failure to File Tax Returns
In order to avoid the 75% penalty for fraudulent failure to file tax returns the tax payer must establish: 1) The delinquent filing is due to reasonable cause.2) The delinquent filing is not due to...
View ArticleUnreported Income: Tax Preparer (CPA) Civil & Criminal Penalties (Summary)
Taxpayers who have unreported income, may subject their tax preparer (CPA) to up to 9 years imprisonment, with the following penalties: Tax Preparer Penalties1. Penalty for causing an understatement of...
View ArticleUnreported Income – Attorney Client Privilege
Attorney Client Privilege – US v KovelIf retained by an attorney, client accountants may receive the benefits of Attorney-Client privilege. In United States v. Kovel, 296 F.2d 918 (2d Cir. 1961), the...
View ArticleUnreported Income: Aiding & Abetting Understatements (Tax Preparer Penalties)
1. Aiding and Abetting Tax Understatements (Penalty)Any person who aids or assists in, or gives advice concerning, the preparation or presentation of any portion of a return, affidavit, claim, with the...
View ArticleUnreported Income: Understatement of Tax Liability (Tax Preparer Penalties)
1. Tax Understatement Penalty (Pre 5/26/07)For income tax returns prepared prior to May 26, 2007, a preparer is subject to a $250 penalty (for each understatement of tax liability on a tax return or...
View ArticleActor Snipes acquitted of tax fraud, guilty of failing to file a return
Highlights of Los Angeles Times article 2/2/2008 A federal jury in Florida acquitted actor Wesley Snipes of felony charges of tax fraud and conspiracy Friday but found the former high-profile star...
View ArticleTax Preparers Unreported Income Criminal Penalties and Fines
For my upcoming seminar May 2008 on IRS and Unreported Income I have prepared the following summary: Tax Preparers Unreported Income: Criminal Penalties and Fines (Imprisonment up to 18 Years) Felonies...
View ArticleAttorney Gets 10-Year Sentence for $20M Tax Fraud
Salt Lake City (Aug. 19, 2008) By WebCPA staff , WebCPA.com A Utah attorney was sentenced to 120 months in prison and 36 months of supervised release after he was convicted of participating in a $20...
View ArticleUS accountant granted bail in UBS tax case
By CURT ANDERSON, Associated Press FORT LAUDERDALE, Fla. (AP) — A wealthy accountant who is the first U.S. citizen charged in a wide-ranging tax probe of Swiss banking giant UBS AG was granted release...
View ArticleIRS May License Tax Preparers to Help Close ‘Tax Gap’
By Ryan J. Donmoyer, Bloomberg.com The Internal Revenue Service is considering registering or licensing paid tax preparers such as H&R Block Inc. and Jackson Hewitt Tax Service Inc. as part of a...
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