Statutes of limitations generally prevent the Internal Revenue Service from investigating tax returns that are older than six years. For most returns filed by taxpayers in Maryland, the IRS only has three years to audit the reported income. If the agency suspects that...
Year: 2018
Can you write off a trip for business and vacation?
You travel all over the world for business. You have meetings with clients, you tour factories, you meet with the owners of other companies looking to partner with you. And that's just the tip of the iceberg. For you, work rarely means being in the office and far more...
TIGTA says IRS not using currency reports from banks
The Treasury Inspector General for Tax Administration has released a report indicating that the Internal Revenue Service makes little use of bank currency reports. Many Maryland residents are aware that if they deposit more than $10,000 in cash at any one time, their...
IRS private collections program less successful than expected
A tax collection program that relies on private companies to chase down debts brought in just more than it cost to set up and operate, according to an audit by the Office of the Inspector General. The Internal Revenue Service set up the program based on legislation...
If you’re flagged for an employment tax audit, be careful
If you're a business owner, receiving a letter from the Internal Revenue Service or Maryland State Department of Assessments and Taxation can be intimidating. It may be tempting to ignore the inquiry in hopes that it's a minor issue that can be addressed later, but...
Maryland woman sentenced in false tax returns case
A federal judge in Maryland has sentenced a 45-year-old Baltimore County woman to seven years in prison for identity theft and filing fraudulent income tax returns with the Internal Revenue Service. A jury returned guilty verdicts on 14 counts of wire fraud,...
Bankruptcy will not solve your issues with IRS tax liens
When people get into trouble, bankruptcy is often the last resort solution they turn to. Depending on an individual's assets and income, either Chapter 7 or Chapter 13 bankruptcy could offer some form of relief. After all, bankruptcy provides an automatic stay against...
The impact a tax lien has on creditworthiness
Maryland residents who owe money to the Internal Revenue Service could have a tax lien placed on their property. This is true whether a person owes personal or business taxes. When a lien is placed on an item, the government is saying that it has a legal interest in...
Practitioners See No Rush to Add Cryptocurrency to Badges of Fraud
Published in Tax Notes, Aug. 27, 2018, pp. 1327-1329. By Nathan J. Richman Between possible non-tax-evasion motives foreven the most secretive uses of virtual currencies and the long list of open tax questions, practitioners say the IRS shouldn't hurry to amend its...
How Maryland regulates its lottery
The state of Maryland offers a variety of lottery games that individuals can play to earn cash prizes. In some cases, those prizes will be given to a custodial parent or to the government itself. This is true for those who owe more than $150 in back support or who...