Blogs

The aim of the Foreign Account Tax Compliance Act (FATCA) is to bring down tax evasion by introducing transparency in the financial activities of U.S. taxpayers and U.S. financial institutions. FATCA makes it mandatory for U.S. individual taxpayers to report information about certain foreign financial accounts and offshore assets if they exceed a certain threshold.... Continue reading →

Tax fraudsters often use methods such as threatening, tempting and/or misinforming a taxpayer to obtain either confidential information or cash. They commonly use fake identities. Their usual methods of communicating with taxpayers is to send unsolicited emails pretending to be the IRS or a reputable financial institution.If taxpayers receive communication from any source that requires... Continue reading →

There are individual voices and there is the country’s law. Collective voices can re-write laws, but an individual cannot break laws. Tax laws must be complied with because, unless they are enforced, it will lead to anarchy.Many taxpayers try to avoid paying taxes because they do not believe in taxes. Their opinion might be based... Continue reading →

It is important for taxpayers to know that the IRS charges penalties and interest on any amount of tax debt that remains to be paid. That holds true for taxpayers that have qualified for tax debt payment plans. The reason the IRS charges penalties on tax debt is simple: the IRS wants taxpayers to pay... Continue reading →

There are various penalties that the IRS charges for the different kinds of tax non-compliance. The amount of penalties charged largely depends on the severity of the non-compliance. But taxpayers can avoid paying penalties in certain cases. To induce the IRS to forgive a penalty or reduce its amount, taxpayers need to convince the IRS... Continue reading →

The IRS charges penalty for non-compliance to encourage taxpayers to comply with the tax laws. The penalty for non-compliance varies depending on the gravity of the non-compliance. In some cases, it can be as high as 75 percent. Late filing of taxes, non-payment of taxes, tax fraud cases and tax evasion are some of the... Continue reading →

Tax resolution companies provide essential support to taxpayers who find it difficult to resolve their tax problems themselves. Legitimate tax resolution companies offer honest services, but there are many fraudulent tax services that are only after taxpayers’ money. When taxpayers hire a legitimate tax service, they receive assistance in the preparation, representation and negotiation of... Continue reading →

Even though most tax resolution companies provide honest services, there are some that use the mask of tax resolution to take money from taxpayers looking for resolution of tax problems. Recently, many fraudulent tax companies were exposed. Most of them used deceptive advertising that gave false hopes to taxpayers, especially of tax debt reduction. They... Continue reading →

While some citizens try to evade taxes illegally, others find loopholes in the tax code to legally minimize their tax bill. Many companies and  individual citizens evade taxes by hiding money in tax havens. This unaccounted money totals to billions of dollars of lost tax revenue each year. Even though the IRS has been trying... Continue reading →

To target tax evasion, the IRS has targeted tax havens on one hand and encouraged voluntary disclosure of evaded taxes on the other. Switzerland, a country well-known for allowing secrecy in financial institutions, was asked by the IRS under Foreign Account Tax Compliance Act (FATCA)  to share financial details of U.S. taxpayers and introduce transparency... Continue reading →