Category Archives: IRS

Bozo Tax Tip #5: The $0.49 Solution

Posted on April 9, 2017 by Russ

With Tax Day fast approaching it’s time to examine yet another Bozo method of courting disaster. And it doesn’t, on the surface, seem to be a Bozo method. After all, this organization has the motto, Neither rain nor snow nor … Continue reading →

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Bozo Tax Tips #6: Publicize Your Tax Crimes on Social Media!

Posted on April 6, 2017 by Russ

Social media is really, really big these days. You can follow me on Twitter. I may even update my Facebook page one of these days. Of course, I’m not a tax criminal, and my posts hopefully add knowledge for others. … Continue reading →

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Bozo Tax Tip #10: Email Your Social Security Number

Posted on April 2, 2017 by Russ

It’s time for our annual rundown of Bozo Tax Tips, strategies that you really, really, really shouldn’t try. But somewhere, somehow, someone will try these. Don’t say I didn’t warn you! This is a repeat for the fourth year in … Continue reading →

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Do Not Blindly Pay IRS Notices, Reason ∞

Posted on March 20, 2017 by Russ

One of my clients angrily sent me a message today. She received an IRS Automated Underreporting Unit (AUR) notice alleging that she did not include $50,000 of W-2Gs on her 2015 tax return. She’s a professional gambler, so I looked … Continue reading →

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The Other March 15th Deadlines

Posted on March 15, 2017 by Russ

Today’s the deadline for filing partnership and S-Corporation returns. An extension is available by filing Form 7004. Most (but not all) states grant an automatic extension. Do realize that if your state charges a tax for your entity (i.e. New … Continue reading →

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The Hidden Bitcoin Trap: FBAR

Posted on February 26, 2017 by Russ

A lot of my clients have invested in Bitcoins. For those who aren’t aware Bitcoins are a “cryptocurrency.” For tax purposes, Bitcoins are treated like stocks and bonds; realized gains (and losses) are reported on Schedule D. And that’s everything … Continue reading →

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Breaking Bad Hits an IRS Attorney

Posted on February 1, 2017 by Russ

In the television show “Breaking Bad,” a high school chemistry teacher turns to selling methamphetamine to help his family; that’s a decidedly illegal activity. An IRS attorney is accused of pursuing the same activity. Jack Vitayanon, an IRS attorney in … Continue reading →

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2017 Mailbag #2: The Case of the Deliberately Wrong 1099

Posted on January 29, 2017 by Russ

Our second mailbag post deals with an issue I’ve reported on before: an incorrect information return. Once again, there’s a twist. In 2015 I did some consulting for them and was paid $10,000; I received a 2015 Form 1099-MISC that … Continue reading →

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2017 Mailbag #1: The 1099 Doesn’t Show Up, So I Don’t Have to Report It, Right?

Posted on January 26, 2017 by Russ

It’s time for this year’s mailbag, and we’ll start with a common question: What happens if you’re expecting a 1099 and it doesn’t show up? There’s a twist as you will soon see: I did contract work for a company … Continue reading →

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It’s 1099 Time

Posted on January 3, 2017 by Russ

It’s time for businesses to send out their annual information returns. These are the Form 1099s that are sent to to vendors when required. Let’s look first at who does not have to receive 1099s: Corporations (except attorneys) Entities you … Continue reading →

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