In IR-2016-146, the IRS encouraged employers to promote leave-based donation programs for victims of Hurricane Matthew. Hurricane Matthew devastated coastal sections of Florida, Georgia, South Carolina and North Carolina from October 5-9 of 2016. It caused over $5 billion in property damage and 49 Americans lost their… Read More

In IR-2016-144 the IRS outlined its successful efforts to fight identity theft in 2016 and explained plans for future battles. The IRS 2016 Security Summit produced multiple initiatives to limit identity theft. Several of the initiatives were successful. Theft Affidavit – The number of taxpayers who file affidavits with the… Read More

Sens. Susan Collins (R-ME) and Claire McCaskill (D-MO) are the Chairman and Ranking Member of the Senate Aging Committee, respectively. Both have strongly encouraged the federal government to protect seniors by prosecuting tax impersonators. On October 27, the IRS and Department of Justice announced indictment of 56 persons who operated… Read More

On October 17 the IRS announced in IR-2016-135 that it will provide additional tax relief to victims of Hurricane Matthew. The relief will apply to affected counties in North Carolina, South Carolina, Georgia and Florida. Tax deadlines on or after October 4, 2016 are generally extended to March 15, 2017. Read More

As the election clock continues to race forward, the Senate Finance Committee this week passed several retirement plan bills. Many Americans have a 401(k) plan. With a traditional 401(k) plan, the employee may make tax free contributions and enjoy tax free growth. Distributions must commence after age 70½, with a… Read More

In IR-2016-119 the IRS reports new attacks on professional tax preparers. In a dozen cases, identity thieves gained access to the computers of a professional tax preparer. The thieves then e-filed returns and directed the refunds to their personal financial accounts. IRS Commissioner John Koskinen stated, “This latest incident reinforces… Read More

On August 30, The National Taxpayer Advocate Nina Olson held a public hearing in San Antonio, Texas. CPA Jim Oliver spoke on behalf of the San Antonio Chapter of the Texas Society of Certified Public Accountants. Oliver highlighted three major areas for potential IRS improvement. 1. Inadequate Staffing – The… Read More

IRS agents regularly meet with taxpayers for audits and tax enforcement actions. While IRS agents are not normally popular with the public, the large number of IRS impersonation scams is creating a new problem. Many taxpayers now question whether IRS revenue agents actually represent the government. At the IRS Nationwide… Read More

John Breyault, Vice President of the National Consumer League, reports a sharp increase in tax fraud using iTunes cards. Tax fraudsters typically use fear and intimidation to obtain the iTunes payments. Psychologists understand the use of fear and anger. Your emotions may actually cause you to ignore rational warnings by… Read More

While thieves continue to steal identities and file for fraudulent refunds, the IRS reported modest success in the ongoing battle over refund fraud. Stolen identity refund fraud thieves are both creative and successful. Most initially were “lone wolves” who would steal the identity of a single person and electronically file… Read More