Unfortunately, every year Internal Revenue Service scams are becoming more prevalent. Not only are scam frequencies on the rise, but there is also an increase in the scammers’ sophistication. Currently, there are more than a few methods scammers use. Knowing what they are may just protect you from an otherwise unfortunate experience. IRS Lawsuit Scam … Read more
Use these terms and definitions on tax fraud, scams and schemes to better understand some of the articles you see on Fraud Guides If you’ve ever had your eyes glaze over while people talk about taxes part of the reason may be that you don’t understand tax terminology. We’ve pulled together some of our favorite … Read more
Claiming the same dependents on more than one tax return to boost refunds or lower taxes is a crime well-known to the IRS. Lower income workers have a relatively new way to save on their taxes. It’s called the Earned Income Credit (EIC) and has an even bigger tax break for workers supporting children. If … Read more
During tax season the number one complaint from consumers, identity theft, increases. During tax season the number one complaint from consumers, identity theft, increases. And the IRS is well aware of it. On their website, https://www.irs.gov/, they have a special article dedicated to “Identity Theft and Your Tax Records“. In this article the IRS gives … Read more
Failing to pay your fair share of taxes isn’t clever, it’s a crime that could land you in hot water once the IRS catches up with you. Some people try to make a living bragging to others about how they don’t file or pay federal income taxes. And for a small fee they’re only all … Read more
Are Federal Taxes Unconstitutional? Was the 16th Amendment Tax Ratified? If you think you aren’t required to pay taxes because the 16th Amendment to the Constitution wasn’t ratified and you fail to pay your taxes to the IRS, you could find yourself in hot water. A clever scam, perhaps more hoax than scam, used by … Read more
Does transferring your money into a trust to avoid paying federal income tax sound like a great idea? Many people do, but it’s illegal and you will get caught if you attempt it. Over the past few years, people promoting abusive tax avoidance schemes have turned their attention to getting taxpayers to transfer their assets … Read more
Income Tax Refund Loan Scams Beware tax preparers promising tax return funds immediately. They’re taking advantage of people’s desire to receive what’s due to them faster than what the federal government will return. By employing a “refund anticipation loan” program, professional tax preparation companies have created a system that allows tax payers the ability to … Read more
Beware! Not all professional tax preparers have your best interest at heart. Some will throw in stealing your money as part of their service. While there are many legitimate professional tax preparers who have solid reputations, not all tax preparers have your best tax interest at heart. Unscrupulous and unethical tax professionals use customers to … Read more
Not withholding Federal income taxes for yourself or your employees can get you in a lot of trouble It’s an old scam with a long history and keeps coming up throughout the United States. Con artists will tell you that according to Section 861 of the U.S. tax code, you’re not required to withhold federal … Read more