Detroit, Michigan, Pizza Restaurant owner Happy Asker is most likely unhappy after the Justice Department indicted him and several others earlier for federal tax violations related to his business, Happy’s Pizza. Michigan-based Happy’s Pizza grew into a thriving business with 100 franchises across six states. After a three-year investigation of the business, Happy along with
Read MoreTaxpayers Should Be Wary of Phone Calls from People Claiming to be From the IRS
Taxpayers have lost more than $1 million this year in a scam where telephone callers are impersonating Internal Revenue Service officials. The impersonators are calling taxpayers and telling them they owe the IRS money and request payment via phone using a prepaid debit/credit card or wire transfer. If the caller balks at making the payment
Read MoreBreaking Bad and What to Do with Taxes on Illegal Income
As the hit show Breaking Bad comes to an end, Forbes ran an interesting article on the tax implications of illegal activities as it relates to the hit show. The author highlights a few problems that arise when conducting illegal transactions, including: Illegal income is still considered taxable income by the IRS. Regardless of the
Read MoreTax Return Preparer Pleads Guilty to Filing False Tax Returns
Mark Goldberg, (pictured below) a tax return preparer from the Bronx in New York City, pled guilty to tax fraud last month. In the indictment Goldberg was charged with 40 counts of willfully and/or knowingly inflating tax deductions for his clients, 4 counts of filing fraudulent returns of his own, 1 count of obstruction of
Read MoreStaffing Company Owner Sentenced to 51 Months in Prison for Failing to Pay Payroll Taxes
A growing area of tax fraud is originating from staffing companies and PEO’s (Professional Employer Organizations) who withhold taxes from their workers and fail to turn the withheld funds over to the IRS. A case earlier this month resulted in a former owner of such a company receiving a 51-month prison sentence for committing such
Read MoreNashville Tax Return Preparers Face Mo’ Problems
As I have written about previously, tax return preparers can face both civil and criminal penalties for preparing false or fraudulent tax returns. One such tax return preparer company, Mo’ Money Taxes, is now dealing with a civil injunction lawsuit, which was filed against them in Nashville by the U.S. Attorney’s Office in Middle Tennessee,
Read MoreTax Return Preparer Fraud Can Carry Both Civil and Criminal Penalties
The Internal Revenue Service and the Department of Justice have made it clear that they are turning up the heat on tax return preparers who submit fraudulent or false tax returns. Tax return preparer fraud has consistently been listed on the IRS’ list of “Dirty Dozen Tax Scams.” The IRS states that “tax return preparer
Read MoreImmigration and Customs Enforcement Detainer Memorandum
On December 21, 2012, John Morton, Director of U.S. Immigration and Customs Enforcement, issued a memorandum providing guidance on the use of ICE detainees. The memorandum can be seen here: ICE detainer-policy Memo 12-21-12
Read MoreFAILURE TO PAY A PROPERTY SETTLEMENT DOES NOT RELIEVE CHILD SUPPORT OBLIGATION
In the case of Cantrell v. Cantrell, No. M2012-01847-COA-R3-CV (Tenn. Ct. App. May 23, 2013),we learn that one party’s failure to timely pay a property settlement does not relieve the other party’s child support obligation. Facts: The parties divorced in 2008. In 2012, Wife filed a Petition for Contempt based upon Husband’s failure to comply
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