Robert J. Fedor, Esq., L.L.C.

June 2013 Archives

Some tax professionals seek personal gain through tax crimes

For many small business owners and individuals alike, keeping track of personal expenses, deductions and other tax-related matters can be time-consuming and confusing. For these reasons, many Ohio residents turn to professional tax preparer services. Individuals who are employed as tax preparers have a fiduciary obligation to act in the best interest of clients. Unfortunately, some tax preparers have been found to abuse both their clients' trust and pocketbooks.

Virtual currencies targeted by IRS

Across the world, people readily use computers to complete purchases and transactions. Traditionally, an individual is required to set up an account and pay for goods purchased online via a credit card or secured payment account such as PayPal. In recent years, however, a new type of virtual currency has gained popularity and the attention of both U.S. officials and the Internal Revenue Service.

Know the type of audit you're facing

There are few things most of us dread more than learning of an impending IRS audit. While most of us try our best to accurately report and pay taxes, given the complex tangle of legalese that is the U.S. tax code, most of us also know that if our return is strictly scrutinized, the IRS will be able to find some place where an "i" wasn't dotted or a "t" wasn't crossed.

Tax court sides with IRS, requires payment on 30 year tax debt

Most Ohio residents likely hang on to old tax documents for a few years. While rare, if audited officials at the Internal Revenue Service may request tax-related documents that are three or more years old. For small business owners, tax matters are typically more complex and include the added pressure of keeping track of business-related expenditures including those related to employees and payroll.

Punishment and penalties associated with tax crimes often harsh

It's often difficult to impossible to be good at everything. Many small business owners, however, try to not only run a successful business, but also keep accurate financial records and file necessary tax documents. Sometimes, despite best intentions and efforts, critical errors are made that can result in criminal charges related to tax evasion and tax fraud.

Is an IRS audit in your future?

Shrouded in secrecy and feared by many, the Internal Revenue Service is often vilified. While most Americans will never encounter the dreaded IRS audit, most don't fully understand the audit selection process. For fairly obvious reasons, IRS officials do not share exactly how the agency selects taxpayers for an audit. There is, however, data available related to who is at risk for being audited as well as how the typical audit process proceeds.

Musicians often susceptible to pitfalls of stardom

Many Ohio residents have likely heard about the tax woes of stars within the music industry. Willie Nelson, Mary J. Blige and Lauren Hill are three of the most-recent and notable music megastars to face tax crimes charges. In fact, it seems as though there is a disproportionate number of music artists who encounter tax problems. Many within the industry point to a variety of factors that often contribute to the financial downfall of artists within the music industry.

June signals busy tax time for Americans living abroad

It's finally June and Ohio residents who endured a brutal winter and unusually chilly spring are able to enjoy the warmth and sun. As many Ohioans are busy planning summer vacations and activities, others are busy getting tax documents in order. That's right, taxes in June. While the deadline to file and pay tax returns was April 15 for most Americans, for those who were out of the country during April or living abroad, June is a critical tax month.