Friday, September 24, 2010

Don't fall victim to tax scams. Remember that if it sounds too good to be true, it probably is ...

Below are a few links from http://www.irs.gov/index.html

Tax Scams

Don't fall victim to tax scams. Remember that if it sounds too good to be true, it probably is. If you think you're being scammed, you can report suspected tax fraud activity by sending completed
Form 3949-A, Information Referral, to Internal Revenue Service, Fresno, CA 93888. You can download the form or call 1-800-829-3676 to order by mail.

Some of the common scams the IRS sees include:

IR-2008-41, Phishing Scams, Frivolous Arguments Top the 2008 “Dirty Dozen” Tax Scams

IR-2007-61, IRS Identifies 40 Frivolous Positions for Taxpayers to Avoid

IR-2007-37, Fraudulent Telephone Tax Refunds, Abusive Roth IRAs Top Off 2007 “Dirty Dozen” Tax Scams

IR-2006-25 , IRS Announces “Dirty Dozen” Tax Scams for 2006

Misuse of "Corporation Sole" Laws for Religious Organizations
(IR 2004-42)

Offering to Help Obtain Tax Benefits — targets have included military families (IR-2003-63)

Schemes involving Medical Professionals —
FS-2004-115 and FS-2003-12
Schemes Promoting Use of Disabled Access Credit (IR-2002-17)

Home-Based Business Tax Avoidance Schemes (IR-2002-13)
Slavery Reparation Scams (IR-2002-08) and court cases involving such scams (FS-2002-08)

Related Items:

Fact Sheet 2004-12, Tax Return Errors and Frivolous Tax Arguments — an overview of IRS warnings and technical guidance on frivolous positions.

Tax Scams — How to Recognize and Avoid Them Education is the best way to avoid the pitfalls of these “too good to be true” tax scams.

Criminal Investigation's
Tax Fraud Alerts

Phony Arguments

No matter how some things are sliced, they're still baloney. If someone tells you that you don't have to pay taxes, check out
The Truth About Frivolous Tax Arguments. This IRS.gov exclusive addresses some of the more common false "legal" arguments made by those opposed to compliance with the federal tax laws. Each contention is briefly explained, followed by a discussion of the legal authority that rejects the contention. The second section deals with frivolous arguments encountered in collection due process cases. The final section illustrates penalties imposed on those pursuing frivolous cases.

IR-2004-41 describes the increasingly strong penalties the courts have imposed from March 2003 to March 2004 on taxpayers who pursued frivolous cases to delay IRS collection actions.

IR-2003-28 details penalties the Tax Court imposed from April 2001 until early March 2003 for making frivolous Collection Due Process arguments.

Credit Counseling Organizations

The IRS is concerned that some organizations are using their tax-exempt status to skirt consumer protection laws. Get the details through this IRS
consumer alert.