Is Bitcoin a Security? The SEC is a federal agency that regulates the securities markets within the United States. The SEC enforces certain disclosure requirements and financial filings in the name of protection against market manipulation. Issuers of securities need to be registered with the SEC, as well as financial service firms and the professionals
Is Mental Incapacity a Defense to “Willful Behavior” Penalties?
By: Sanford I. Millar © The Tax Crimes Handbook of the Office of Chief Counsel, Criminal Tax Division of the Internal Revenue Service defines “Willfulness ” as follows: “[a] Willfulness is defined as the “voluntary, intentional violation of a known legal duty.” Cheek v. United States, 498 U.S. 192, 200-01 (1991); United States v. Pomponio,…
When are you safe from a tax audit? Or, All things must pass, maybe!
The most common question I am asked when the subject to taxes comes up in conversation is “how long does the IRS have to audit me?”. The answer of course is, it depends. There are a variety of Statutes of Limitations, depending on the type of return, but the general civil tax rule (statute of…
International Enforcement is an IRS Priority: Immigrants are particularly vulnerable
The IRS announced its enforcement priorities include international reporting among the top two categories. I have represented taxpayer’s in disputes with the IRS and state taxing agencies over international and domestic tax issues for decades. What I have found is that there is a group of taxpayer’s facing international penalties; immigrants (typically first generation U.S.…
What do Laurie Loughlin and Al Capone have in common? Answer: Tax Crimes
Don’t get me wrong, I am not suggesting that there is an equivalence in actions between Laurie Loughlin, whose underlying alleged[1] criminal activity involved bribery in an effort to get her daughters into college and the conduct of an organized crime leader, but I am pointing out the common denominator, tax crimes. The IRS-Criminal Investigation…
Why the Paul Manafort Case Matters to You.
Why the Paul Manafort Case Matters to You. Paul Manafort, the former campaign manager for president Donald Trump was sentenced to a term of 47 months in prison this week and ordered to pay millions of dollars in restitution. He will also be assessed a 75% tax fraud penalty. Some have argued that his prison…
Proposition XIII is Under Attack
Proposition XIII is under attack through a proposed amendment to the Constitution of the State of California. The proposed amendment is known as “The California Schools and Local Communities Funding Act of 2018” The proposed amendment would eliminate Prop 13 tax rate increases for “commercial and industrial properties” and would require reassessment to their full…
The Taxpayer -Accountant Relationship Is Under Pressure
The beginning of the year is usually a time for thinking about the challenges ahead. This year is no different. The “shutdown” of parts of the federal government, including the IRS, will cause a variety of personal and business hardships for all affected. But among the challenges some taxpayers will face is how to deal…
The Tax Cuts and Jobs Acts Eliminates the Tax Deduction for Spousal Support Beginning January 1, 2019
The Tax Cuts and Jobs Acts Eliminates the Tax Deduction for Spousal Support Beginning January 1, 2019, except for support Orders effective by December 31, 2018. For decades the Internal Revenue Code and the California Revenue and Taxation Code have allowed an income tax deduction to payors of “Spousal Support”. The recipient ex-spouse was required…
The Offshore Voluntary Disclosure Program Ends September 28, 2018. What happens next?
The end of the Offshore Voluntary Disclosure Program (“OVDP”) may mean nothing at all to the hard core taxpayers who will never voluntarily come forward. For many of those individuals. who chose the “wrong” foreign financial institution or financial advisor the prospect of paying fifty percent (50%) of the highest account balance in the preceding…