Author Archives: Russ

Tax Preparers Behaving Badly

Posted on August 24, 2014 by Russ

There’s a common thread among these tax professionals: You’ll be getting a refund. That sounds good until you realize that you really shouldn’t have, and that you will likely get in trouble later. Our first preparer might be saying, “Well, … Continue reading →

Posted in Tax Fraud | Tagged | 1 Comment

Today, Liechtenstein; Tomorrow, the World!

Posted on August 24, 2014 by Russ

Fellow Enrolled Agent Jason Dinesen calls EAs the Liechtenstein of the tax world. Personally, I think he may be overstating our case; when I tell people I’m an Enrolled Agent the most common reaction is, “You don’t look like you’re … Continue reading →

Posted in Taxable Talk | Tagged | Comments Off on Today, Liechtenstein; Tomorrow, the World!

A Passive Activity Case Goes to the Taxpayers

Posted on August 20, 2014 by Russ

We’re going to see a lot more IRS activity regarding “passive” activities in the coming years. The Affordable Care Act (aka ObamaCare) added a new Net Investment Tax that impacts passive activities. Many taxpayers will be attempting to state activities … Continue reading →

Posted in Tax Court | Tagged | 1 Comment

FBAR Filing Follies

Posted on August 18, 2014 by Russ

Joe Kristan reported last week that you cannot use Adobe Acrobat to file the FBAR; you must use Adobe Reader. In fact, if you have Adobe Acrobat installed on your computer and use Adobe Reader it won’t work either. Well, … Continue reading →

Posted in FINCEN | Tagged | 1 Comment

A Golden Scheme Leads to ClubFed

Posted on August 17, 2014 by Russ

If there’s one phrase I’ve used over and over on this blog, it’s if it sounds too good to be true it probably is. But greed is a powerful motivating force. For example, consider Yamashita’s gold. Yamashita’s gold is the … Continue reading →

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Judge Sullivan Not Impressed by the “Dog Ate my Homework” Excuse

Posted on August 17, 2014 by Russ

Judicial Watch filed a Freedom of Information Act (FOIA) request with the IRS for information on the targeting of conservative groups. When the FOIA request went nowhere, Judicial Watch filed a lawsuit against the IRS. In July, Judge Emmet Sullivan … Continue reading →

Posted in IRS | Tagged | 1 Comment

The Hom Decision and the Past (2008 – 2012)

Posted on August 17, 2014 by Russ

Back in June, a federal district court ruled in United States v. Hom that foreign online gambling accounts are reportable for FBAR purposes. An obvious question is what does this mean for prior years. First, these are just my thoughts. … Continue reading →

Posted in Gambling | Tagged | Comments Off on The Hom Decision and the Past (2008 – 2012)

Lawsuits Against FATCA in Canada

Posted on August 14, 2014 by Russ

A lawsuit was filed in Federal Court in Vancouver, British Columbia, challenging Canada’s complying with the US Foreign Account Tax Compliance Act (FATCA). This is the law that spawned Form 8938 (the “Son of FBAR”). This law, passed in 2010, … Continue reading →

Posted in International | Tagged , | 1 Comment

Bears Sacked; Lose Court Case Worth $4.1 Million

Posted on August 11, 2014 by Russ

No, Jay Cutler didn’t throw one of his usual interceptions. Instead, Judge Mary Mason of the 1st District Illinois Appellate Court ruled that the Chicago Bears had underpaid Cook County’s Amusement Tax. The story begins when ancient Soldier Field was … Continue reading →

Posted in Illinois | Tagged | 1 Comment

I’ll Drink to That!

Posted on August 11, 2014 by Russ

Some tax-related news today from the other side of the pond. In Birmingham, England, two stores have been barred from selling alcohol as they had fake export labels. The report in the Birmingham Mail notes that the shops had over … Continue reading →

Posted in International | Comments Off on I’ll Drink to That!