Doctor Sentenced for Failing to File FBAR Reports

Thursday, February 2nd, 2012

Michael Reiss, New Jersey doctor, professor and medical researcher, was sentenced on January 11, 2012 for failing to report his offshore (UBS) bank accounts. According to the IRS, Reiss was sentenced to eight months in a community confinement center for failing to file Reports of Foreign Bank and Financial Accounts (FBAR) with the IRS. Reiss pleaded guilty in August 2011 and agreed to pay back taxes of at least $400,000

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Doctor Sentenced for Failing to File FBAR Reports

Thursday, February 2nd, 2012

Michael Reiss, New Jersey doctor, professor and medical researcher, was sentenced on January 11, 2012 for failing to report his offshore (UBS) bank accounts. According to the IRS, Reiss was sentenced to eight months in a community confinement center for failing to file Reports of Foreign Bank and Financial Accounts (FBAR) with the IRS. Reiss pleaded guilty in August 2011 and agreed to pay back taxes of at least $400,000

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Dodging Taxes by Michigan Lawyer Results in 24 Month Prison Term

Friday, January 27th, 2012

A lawyer in Port Huron, Mich., was sentenced to 24 months in prison for tax evasion.
David Douglas Black, 49, owner of Black, Black and Black law firm also was sentenced to two years of supervised release and ordered to pay a special assessment of $100.
According to court records, during the 2004 tax year, Black diverted income from his law firm by using checks made out to him, his wife or

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IRS Offer in Compromise Saves Tax Client Over $15,000

Sunday, January 22nd, 2012

Every month Tax Resolution Services chooses a very special Tax Client Of The Month.  It’s our way of acknowledging good friends and saying “thanks” to those who support Tax Resolution Services with referrals, word of mouth and repeat business.
This month’s TaxClient Of The Month is Mr. Joe F.
Mr. Joe F. owed the IRS $16,000 in back taxes when he sought help.  After several months of negotiations, we were able

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Tax Evasion by Arizona Woman Amounts to $3 Million

Sunday, January 15th, 2012

A Gilbert, Ariz., woman was sentenced to 78 months in prison for evading more than $3 million in taxes on income earned from real estate commissions and land sales.
Sue J. Taylor, 67, was found guilty by a federal jury on April 28, 2011, of four felony counts of tax evasion and fourmisdemeanor counts of willful failure to file tax returns. Taylor was taken into custody at the conclusion of

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Back Taxes Owed by Christie Brinkley Amount to $500,000

Friday, January 13th, 2012

Former model Christie Brinkley owes the Internal Revenue Service $531,000 in back taxes.
Brinkley, 57, owns properties in the Hamptons and is worth a reported $80 million.
“I was surprised to learn of the tax lien filing and took immediate steps to rectify this matter. I discovered the tax lien was the result of an error,” Brinkley told TMZ.
“I regret not paying more attention to my accounting, but I have been and

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IRS Scam by Former Inmate Gets 92 Months

Saturday, December 31st, 2011

Walter Allen Johnson, a former Tennessee Department of Correction inmate, was sentenced to 92 months in prison for his role in a conspiracy to submit false tax returns on behalf of prison inmates. Johnson admitted that, while incarcerated from 2006 to 2007, he conspired with othersto submit false tax returns that claimed refunds on behalf of other inmates. Johnson and his co-conspirators collected 87 checks totaling approximately $57,880. Related posts:Tax

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False Tax Returns Gets New Jersey Man 33 Months in Prison

Thursday, December 29th, 2011

A Blackwood, N.J., man was sentenced to 33 months in prison for defrauding the United States by filing tax returns with the IRS with false, fictitious and fraudulent information. Jose Adames, 32, was convicted following an eight-day trial. His wife, Angelita Adames, 34, who previously pleaded guilty to the same indictment, is scheduled to be sentenced.
Jose and Angelita Adames negotiated 102 tax refund checks totaling $668,298.73 at a Camden check

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Failure to Pay Employment Taxes by Wisconsin Businessman

Wednesday, December 28th, 2011

After pleading guilty to failure to pay employment taxes, Gene R. Wendt, 56, Rhinelander, Wis., was sentenced to nine months in prison and fined $10,000.
From 2004 to 2008, Wendt owned and operated Crown Point Classics, a business in Hazelhurst, Wis., that restored antique cars andboats.
As the owner of the business, Wendt was responsible for collecting, accounting for, and paying over employment taxes withheld from the wages of CPC employees.
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Tax Evader Guilty of Filing False Refund Claims For More Than $1 Million

Friday, December 23rd, 2011

Following a three-day trial, Douglas M. Cavanaugh, Jr., 45, formerly of Binghamton, N.Y., was convicted of six counts of filing false claims for tax refunds from the Internal Revenue Service.
Cavanaugh was arrested at Los Angeles International Airport shortly after he arrived on a flight from Australia, where he resided. Evidence presented during the trial showed that Cavanaugh knowingly made and presented to the IRS six claims for payments of refunds

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Owe Back Taxes? Offer in Compromise or IRS Payment Plan Can Help

Wednesday, December 21st, 2011

Question: I’ve been struggling with IRS debt for a couple of years now. How do I know whether the Offer in Compromise or Installment Agreement is the right program for me? Answer: Ultimately you’ll need to consult in person with a qualified tax professional to find out exactly whether the Offer in Compromise or Installment Agreement is right for you, but it might help if you understand each program and

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Offshore Tax Evasion by Diamond Merchant

Tuesday, December 20th, 2011

Richard Werdiger, a former client of Swiss bank UBS, was sentenced to one year and one day in prison for conspiring to defraud the Internal Revenue Service. He had hid more than $7.1 million at UBS and evaded nearly $400,000 of taxes.
Werdiger pleaded guilty in March 2011 and agreedto pay a civil penalty of more than $3.8 million for his failure to report his overseas accounts to the IRS.
From

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Tax Client Saves $169,000 Through Offer In Compromise Program

Thursday, December 15th, 2011

Every month we choose a very special Tax Client Of The Month.  It’s our way of acknowledging good friends and saying “thanks” to those who support Tax Resolution Services with referrals, word of mouth and repeat business.
This month’s Tax Client Of The Month is Mr. Larry B.
Mr. Larry B. owed the IRS over $179,000.00 when he contacted our office. Our negotiations and advocacy resulted in the Franchise Tax Board accepting

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IRS Scrutinizes Higher Education’s Business

Wednesday, December 14th, 2011

The IRS is busy scrutinizing the hallowed halls of higher education. A recent article written by Michael McDonald of Bloomberg News, reports on IRS’ stepped up enforcement of non-profit colleges and universities across America to properly report income from all revenue streams.The American academic community is seeing first-hand the strong arm tactics of the IRS including the beloved Harvard University and the hotel it owns overlooking the Charles River.
Universities

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Tax Evasion by Colorado Madam Results in Sentencing

Tuesday, December 13th, 2011

A woman in Denver who operated a prostitution business was sentenced to time served, followed by two years of supervised release, for tax evasion in connection to her illegal business.
According to the plea agreement, in approximately May 2005, Brenda L. Stewart, 36, agreed to purchase a prostitution business in which she was employed, known as Denver Sugar and Denver Players.
Stewart created an entity called Phoenix Media and Consulting, LLC. This entity

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IRS Back Taxes Owed by Rapper Amount to Nearly $100,000

Wednesday, December 7th, 2011

Bow Wow, a 24-year-old rapper whose real name is Shad Gregory Moss, owes the Internal Revenue Service nearly $100,000.
According to TMZ, the federal government filed a tax lien against Bow Wow in Florida for $91,105.61 in unpaid taxes from the year 2006.
Formerly known by the stagename Lil’ Bow Wow, the rapper released his first album, Beware of Dog, at age 13. He has also appeared in a number of

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IRS to Return $153 Million in Undelivered Tax Refunds

Friday, December 2nd, 2011

The IRS is seeking to return $153 million in undelivered tax refund checks to taxpayers in 2011. A total of 99,123 taxpayers are owed checks, averaging at total of $1547 per check, due to mailing address errors!
If you are one of the taxpayers still waiting to receive your tax relief refund, follow these steps provided by the IRS to get your earned income back where it belongs and how to

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False Tax Return Filed by Jewelry Store Owner

Thursday, December 1st, 2011

Karen St. Pierre, of Barrington, R.I., pleaded guilty to one count of willfully filing a false individual tax return.
According to court documents, St. Pierre owned and operated the House of Windsor, a jewelry store in Newport, R.I., which in 2004 generated about $632,522 in gross receipts. On April 15, 2005, St. Pierre filed a false individual income tax return that reported, in part, that the gross receipts generated by the

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Non-Profit Officers Responsible for Payroll Taxes

Thursday, December 1st, 2011

A recent article in Forbes, Officers of Non-profits Face Personal Liabilities for Taxes by Robert Wood made me think about small business, specifically the people behind non-profit organizations (NPO). The well-meaning people who set up NPO’s provide the community at large withcharitable programs and services that are usually educational, literary, religious, or scientific in nature. In return, non-profits gain tax-exempt status. By not focusing on putting profits in shareholders

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Time to Consider Taxes as Year End Draws Near

Tuesday, November 29th, 2011

With the holidays approaching, it’s a good time to take stock and consider your taxes and financial life — and take time to correct the mistakes.
Thanksgiving just passed, and the holiday season is now upon us.
That means the year is almost over, and with it another tax year.
You’ve been here before, many times actually. We all have. But now is the time — this is the year — to start

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