Certified Public Accountant: Report Potential Tax Fraud

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For those who use Certified Public Accountant tax services, income tax fraud stories are usually only heard about in the news.
These tales are told of those who have earned some sort of celebrity status or have duped the IRS in such a way that reporters believe the story will sell papers.
Typical taxpayers will not see their tax problems in the headlines, but it should not give a false sense of security.
Just because an average taxpayer will not owe millions, it doesn't' meant the IRS won't take notice.
Tax fraud at all levels will hurt the nation.
Tax evasion is a crime which is committed by more than just celebrities.
It may take years for the IRS to catch up with a person who has committed such a crime, but when they do, the authorities will be involved.
If you know of a person who is committing tax fraud, you should notify the authorities.
Your local tax service would help find the correct contact information to address the problem.
Do you know what is considered as tax fraud? There are many types of tax fraud.
The IRS would be interested in any tax payer who is practicing any of the following: * People who have worked but file no taxes at all.
* Those who report only some of their earnings.
* Falsify state of residence to avoid paying state taxes.
*Creating false or fraudulent claims in order to receive refunds or tax benefits.
*Those who work in the tax field with questionable practices.
It is always best to relay concerns to the proper authorities.
*Those that open new businesses and then close them in order to evade taxes.
*Using any documents, receipts, books or ledger entries which are used to either understate income or exaggerate expenses for a business.
*Vendors who deliver across state lines and do not collect sales tax from products or services delivered there.
Make a tax fraud report concerning businesses or individuals to the IRS directly using their webpage or contacting them directly.
Any professional tax service will be able to guide you in the right direction.
The following is a list of information which you will need in order to fill out the report completely.
*Name of the alleged offender whether company or individual * If reporting an individual, marital status is important.
Provide the name of spouse or Registered Domestic Partner *Provide current address *Describe the suspected fraudulent act.
*Provide any supporting documents you may have obtained concerning the alleged crime.
*Document any asset knowledge you may have whether cars, homes or other.
*Provide names and contact information pertaining to any other individual or agency who you have contacted prior to addressing the IRS.
Income tax fraud is serious.
If you are apprehensive about going to the IRS directly or are unsure about taking the next step, talk to your Certified Public Accountant.
Your local CPA will be able to walk you through the process.
If you think you may have committed one of these crimes and would like to clear up any back taxes, it would help your case to bring it to the IRS' attention rather them finding out about it through an audit.
Use yourpersonal/ business CPAto keep IRS matters legit.
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