In general, unless you are expecting a refund check, a letter from the IRS is an anxiety-inducing experience. Occasionally, the IRS sends out an Information Document Request ( IDR), asking for information. While you do not have a legal obligation to comply, if you...
Three steps when IRS questions a deduction
You have likely heard the adage "innocent until proven guilty." Although this holds true in most criminal cases, it does not apply to investigations by the Internal Revenue Service (IRS). How are investigations by the IRS different? Taxpayers generally bear the burden...
Restaurants accused of tax fraud, face state and federal charges
The Department of Justice (DOJ) has accused five restaurants to tax evasion. The charges include claims the restaurant owners made use of software called “tax zappers” to remove revenue from their books. Instead of properly claiming proceeds from their restaurants on...
You have mail: What to do when the IRS asks about a foreign asset
Those who are savvy in their financial planning efforts likely have diversified their investments. For many, this includes the use of financial assets. When done wisely such planning is legal and beneficial. However, a simple misstep could result in a failure to...
Investment strategy leads to allegations of tax fraud
Investing assets is a complicated business. As such, it is not uncommon to hire a financial planner or to seek advice from investment professionals to aid in creation of an investment strategy. In many cases, this can lead to a strategy that minimizes risks while...
IRS provides guidance on “crack and pack” planning technique
President Donald Trump pushed through tax reform at the end of 2017. The Trump administration stated the new tax law, the Tax Cuts and Jobs Act (TCJA) would result in tax savings for many Americans. Unfortunately, it has also led to confusion. Many provisions within...
