Tax Fraud Archives

March 16, 2018 By Michael

Steer Clear of These IRS Audit Red Flags!

A while back, we discussed some IRS audit triggers called the IRS Dirty Dozen list. This is a collection of filing no-no’s to avoid when you, or a tax preparer, is filing your tax return. They say the two most serious IRS audit red flags are falsifying income and using fake forms. And the bottom line is that ignorance is no defense – whoever dreamed up the scheme, YOU are on the hook when the IRS discovers the problem.

Now, let’s look at some other IRS audit triggers on the list.

Fraudulent Charities

The biggest offender here are those charities whose names sound like ones that are legitimate – but aren’t. These fake charities actually pull a double scam – they steal your well-intentioned gifts, and keep them away from the actual legitimate charities. So, steer clear of IRS audit trouble by doing your homework. The internet can help; in fact, the IRS has a helpful list to identify the known offenders.

Inflating Your Refund

If a tax preparer “guarantees” you a bigger tax refund before he even takes a look at your records – beware. Also be wary if your guy bases his fees on the size of your tax refund. And if he asks you to sign a blank return before he gets started – walk away.

Frivolous Tax Arguments

Got a beef with the Federal government? Save it for your blog, and NOT your tax return. If you want tax audit trouble, use your tax return as a forum for protest to avoid tax responsibility. Trust us, the IRS has heard it all, and they aren’t amused. Check out this IRS rundown of frivolous tax arguments.

Improperly Padding Your Deductions

In the midst of a tax panic, Homer Simpson once declared that “Lisa is now a clergyman, Maggie is seven people and Bart was wounded in Vietnam.” Avoid IRS tax problems – don’t be like Homer! Also, check out these IRS FAQs on proper Earned Income Tax Credits and child tax credits.

IRS Audit? Contact IRS Away Today

We’ll say it again: if you commit tax fraud knowingly, or an unscrupulous tax preparer leads you astray, YOU are ultimately responsible. The time to address your IRS tax problems is NOW. But you don’t have to go it alone. The IRS Away team offers you the peace of mind knowing that your tax problems are being dealt with effectively and professionally. Contact tax attorney Joseph M. Arndt III at (803) 771-4037 for a free consultation.

January 31, 2018 By Tax Attorney

SC Tax Return Season

South Carolina Department of Revenue (SCDOR) began accepting Individual Income Tax returns January 29, 2018.
Returns are due Tuesday, April 17, 2018.

Important information for this year’s filing season is included below. Additional information and resources are available on our website at dor.sc.gov/iit. This article is an excerpt from news@dor.sc.gov.

File Online – Save time.

The SCDOR reminds taxpayers that electronic filing is the most efficient and safest way to file.

“Approximately 87% of South Carolina taxpayers filed electronically in 2017,” said Hartley Powell, SCDOR Director. “We encourage all taxpayers to please consider the many benefits of electronic filing before deciding to file on paper.”

Electronic filing along with choosing direct deposit provides the safest, fastest way to file and receive due refunds. Electronic filing also helps prevent tax fraud, a growing national problem the SCDOR continues to work vigorously to combat.

Taxpayers can learn more about the many available electronic filing options on our website at dor.sc.gov/iit-filing including free electronic filing for eligible taxpayers through the Free File Alliance. Taxpayers can complete and submit simple Individual Income Tax returns online with SC Fillable Forms starting January 29, 2018.

Tax Fraud

The SCDOR is committed to keeping your tax refund safe from fraudsters, and our anti-fraud measures remain aggressive. If you receive an SCDOR letter requesting verification of a return or additional information, please know this is for anti-fraud purposes and may delay some refunds. Your prompt response is appreciated.

If you suspect a refund has been fraudulently requested on your behalf, complete and submit the IRS Identity Theft Affidavit Form 14039 and call the SCDOR’s dedicated customer care line at 1-803-898-7638. Protect your personal information from fraudsters, and review security tips available on our website.

April 4, 2017 By Michael

Don’t Invite IRS Tax Problems at Filing Time!

Last time, we introduced you to some IRS tax problems called the IRS Dirty Dozen list. This is an annual collection of DON’Ts to consider when you, or a tax pro, is filing your IRS tax return. We discussed two of the biggest tax problems on the list, falsifying income and using fake forms. And we warned you that, no matter who dreamed up the scheme, YOU are ultimately responsible when the IRS discovers the problem.

Today, let’s look at some of the other IRS tax problems on the list.

Fake Charities: The main culprit here are charities that use names that sound similar to names you know and trust. They prey on your generosity, taking money from you AND the legitimate charities. Avoid IRS tax problems by using the internet to thoroughly investigate every charity you support! Also, the IRS has a helpful list to identify the known offenders.

Inflated Refund Claims: Red flags should pop up whenever: a tax preparer “promises” or “guarantees” you a bigger tax refund before they even take a look at your records. Be wary when a tax preparer bases their fees on a percentage of your tax refund. Be suspicious when a tax preparer asks you to sign a blank return before they get started.

Frivolous Tax Arguments: These days, people are full of passionate opinions about the way our government conducts business. One way to invite IRS tax problems? Use your tax return as a forum for protest to avoid tax responsibility. Know that the IRS has heard every argument, and penalties are high. Check out this IRS rundown of frivolous tax arguments.

Falsely Padding Deductions on Returns: In the midst of a tax panic, Homer Simpson once declared that “Lisa is now a clergyman, Maggie is seven people and Bart was wounded in Vietnam.” Avoid IRS tax problems – don’t be like Homer! Also, check out these IRS FAQs on proper Earned Income Tax Credits and child tax credits.

IRS Tax Problems? Contact IRS Away!

It bears repeating: whether you have you committed tax fraud knowingly, or an unscrupulous tax preparer led you astray, YOU are ultimately responsible. The time to address your IRS tax problems is NOW. But you don’t have to go it alone. The IRS Away team offers you the peace of mind knowing that your tax problems are being dealt with effectively and professionally. Contact tax attorney Joseph M. Arndt III at (803) 771-4037 for a free consultation.

Put Your IRS Tax Problems Behind you - NOW!