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Most Recent Posts

True The Vote Suit Dismissed By Bush Nominated Judge – Jenny Beth Martin Not Happy

True The Vote Suit Dismissed By Bush Nominated Judge – Jenny Beth Martin Not Happy

Here is where it gets lawyerly.  TTV wanted to invoke the “volunatry cessation exception to the mootness doctrine”.  The idea is that even though the IRS has backed off by granting the exemption, it still might get back to its old tricks, after the judge is no longer looking over its shoulder.  TTV expressed concern that the IRS might select them for audit in the future based on inappropriate criteria.  The Court found that to be too speculative.

TTV was also seeking money damages from several IRS employees involved in the application process.  Citing other cases the Court noted that it is unnecessary to have a court created remedy since Congress has created a specific remedy for challenges to rulings on tax exemption.  That is TTV could have gone to Tax Court to complain about its ruling being delayed or if it had been denied.

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IRS Collection Action Can Be Delayed For A Long Time

IRS Collection Action Can Be Delayed For A Long Time

If you don’t pay your tax, IRS collections can, ultimately, take your stuff (levy) or tell other people who owe you money to pay them instead of you – or else.  As you can see from this case, it is possible to keep that wolf from the door for a really long time.  Mr. Hauptman presented offers in compromise in August 1997 and March 1998, which were both rejected as inadequate.  A third offer was made in July 2005 which was deemed to be made “solely to delay collection activity”.  A fourth offer was submitted on February 10, 2010.  It was for $500,000.

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Taxpayer Barred From Communicating With CPA Still Hit With Late File Penalty

Taxpayer Barred From Communicating With CPA Still Hit With Late File Penalty

The late file penalty would not have been as big a deal, if Mr. Hoeffner had not had such a large balance due. Of course it could be that the money he made in 2008 was sucked up by non-deductible legal expenses, which is why not enough went in with his extension in April of 2009.  I still think the late file was really piling it on.

So I guess the moral of the story is that is great to be true to your school, but your CPA not so much.

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UnFair: Exposing The IRS – Does Not Make Strong Case Or Decent Documentary

UnFair: Exposing The IRS – Does Not Make Strong Case Or Decent Documentary

Jonathan Schwartz did not think that UnFair cut it as a documentary. He did not even think that it was very effective propaganda.  It was more of a rally the troops type of piece that would only work on those who were already convinced of the viewpoints expressed.  After discussing it for a while, we sat at his kitchen table and he fed me some one-liners, several of which I thought really nailed it.

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UnFair – One Night Stand Tonight – Exposing IRS Or Fair Tax Infomercial?

I spoke with Craig Bergman who is the producer and narrator of UnFair.  I asked him what the main message of the film is.  Even though the focus seems to be on IRS abuse, that is not what the film is ultimately about.  Craig believes that the income tax is immoral and should be replaced by a consumption tax – specifically the so called Fair Tax.  In Craig’s opinion angels could be running the IRS and it would still be corrupt and abusive since it violates five of the ten amendments that make up the bill of rights – specifically the First, Fourth, Fifth, Seventh and Eighth.  We ran through them all together, but I’ll save that for tomorrow’s post after I see the film.

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District Court Sets The Bar Lower For Accountants Than Attorneys

District Court Sets The Bar Lower For Accountants Than Attorneys

The court disagrees that either Hand-Bostick or Spinelli, as tax preparers, should be held to the standard of a seasoned attorney with full knowledge of statutory and case authority, and the Government has not presented any evidence or authority that persuades the court that tax preparers are held to the same standard as attorneys or are required in every instance to seek the advice of a tax attorney. Moreover, given the timing of the claimed losses and Defendants’ testimony that they thought that the deductions were appropriate at the time, the court concludes that Defendants’ conduct in this regard is not sufficiently indicative that they will continue to participate in or promote fraudulent tax credits or tax shelter schemes.

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Teresa Giudice’s Surprise Sentence And Possible Better Ways To Motivate Compliance

Teresa Giudice’s Surprise Sentence And Possible Better Ways To Motivate Compliance

In one lab study of attention to moral standards, a group of subjects was asked to recall the Ten Commandments immediately prior to performing a numeric problem-solving exercise, while a control group was asked to recall ten books they had read in high school

In the subgroups that did not have an opportunity to cheat, the average number of problems correctly solved was the same whether or not they had been asked to recall the Ten Commandments. This was expected, since individuals in those groups were presumably honest given their low opportunity to cheat. In the subgroups that had an opportunity to cheat, however, the results were different. The subgroup that was asked to recall ten books from high school claimed to have solved more problems than the other groups, a likely indicator of  cheating. On the other hand, the subgroup asked to recall the Ten Commandments reported the same average number of problems solved as the groups with no opportunity to cheat, an indicator of honesty.

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