Author Archives: Russ

Chiang Docks the Legislature; Was Budget Just $1.86 Billion Off?

Posted on June 22, 2011 by Russ

California Controller John Chiang announced today that the budget proposed by the Democrats was not balanced and that therefore he would stop paying the legislature until a balanced budget is voted on. Mr. Chiang stated, “The numbers simply did not … Continue reading →

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Unhappy Clients of Roni Deutch Talk to the Bee

Posted on June 21, 2011 by Russ

If you want to follow the Roni Deutch case, I strongly urge you to read the coverage in the Sacramento Bee. For example, on Sunday they spoke with several unhappy clients of Ms. Deutch. For the most part it appears … Continue reading →

Posted in California, IRS | Tagged | 3 Comments

When You Get that $110,000 Refund That’s Not Yours….

Posted on June 20, 2011 by Russ

What happens when you get a tax refund direct deposited in your bank account? Well, you spend the money (or invest it, etc.). But what if that isn’t your refund? Well, that’s a problem. Earlier this year I reported on … Continue reading →

Posted in IRS, Orange County | Tagged | 1 Comment

Tax Lady in Court

Posted on June 19, 2011 by Russ

“Tax Lady” Roni Deutch appeared in court on Friday; she pleaded not guilty to contempt of court charges in Sacramento. She’s accused of violating court orders by shredding 2.7 million documents in violation of a court order. Meanwhile, the company … Continue reading →

Posted in Tax Evasion | Tagged | 1 Comment

Blogroll Updated

Posted on June 19, 2011 by Russ

It’s been a while since I’ve proofed my blogroll, and I’ve been negligent in adding some well-deserving blogs and pruning some deadwood. Taxdood publishes “Taxes in the Back.” A New York-based attorney, he focuses on gambling, international issues, and other … Continue reading →

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Partisan Budget Passed by Democrats, Vetoed by Gov. Brown

Posted on June 17, 2011 by Russ

In the latest episode of As the Budget Churns, last night Democrats in the California legislature passed a budget but received no Republican votes for it. The budget that passed was typical for the last few years: Full of gimmicks … Continue reading →

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Son of FBAR Now Looks Uglier for 2012

Posted on June 15, 2011 by Russ

The IRS posted a revised draft of Form 8938, the “Son of FBAR.” I’d normally note the highlights; however, in this case let’s look at the lowlights: First, the form is far more extensive than the original draft. Let’s assume … Continue reading →

Posted in IRS | Tagged | 3 Comments

Is a Taxpayer Liable for the Accuracy Penalty When a Preparer Omits a 1099?

Posted on June 14, 2011 by Russ

Everyone is human. Sometimes we forget that 1099 on the tax return. Today, the Tax Court looked at a case where a tax professional omitted just one 1099. The problem was that this 1099 represented $3.4 million of income, and … Continue reading →

Posted in Tax Court | 1 Comment

If It’s Not in Print…

Posted on June 14, 2011 by Russ

Today, the US Tax Court looked at the case of a citizen of South Korea, and his gambling. The petitioner argued that the Korea – US Treaty of Friendship, Commerce, and Navigation exempts gambling income; alternatively, that the gambling income … Continue reading →

Posted in Gambling | 1 Comment

Phony Liens, Real Jail

Posted on June 9, 2011 by Russ

Here’s a strategy that’s guaranteed to endear yourself to the IRS and other officials at the federal government. First, get yourself in trouble with the SEC. Thanh Viet Jeremy Cao of nearby Rancho Santa Margarita did just that: He was … Continue reading →

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