The IRS Audit Blog

Archive for January, 2007

Question: Is it real or phony loto winings ?

My friend got a letter from a German Lottery saying she had won a sum of money. She also recieved a check for $5000.00 in the letter to pay Non-Resident Taxes. There is no asking for account #s,only to call an international phone # . and pay $ 2980.00 taxes .The check was deposited in her account basically to see if it was real. “IT WAS” In 72hrs it cleared her bank and it was deposited in her account. I have tried to find a scam on this Co. for her but have been unsuccesful. The check the company was on is legitimate in NYC. Should she make the international call and pay the taxes with their money (which has already been taken out of the account) or what. Her attorney seems to think she may nave won but she is still sceptical. Only bank money orders or cashiers check will be used for either transcation.

Answer: Did you buy a lottery ticket?
If not this is a scam. I get about five per day.
Just delete it and ignore it..

www.fraudaid.com/ScamSpam/Lottery/lottery_scam_names.htm www.scambuster419.co.uk/lottery.htm
antivirus.about.com/cs/hoaxes/p/lottery.htm
www.sophos.com/security/hoaxes/lotterywin.htm

please forward it to mail-spoof@cc.yahoo-inc.com.

Problems don’t deter gubernatorial candidates

SPRINGFIELD — It’s fair to wonder why anyone would want to be the next governor of Illinois.

Tax Lawyer Dennis Brager Comments on Tax Issues Faced by Survivor Winner Richard Hatch

Question: I forgot to mention my last year Taxable return in 2008 tax filling. What next? any penalties?

I did itemized tax return last year but forgot to mention the taxable return in number 10 column. What should I do next. Will this trigger any Audit or penalties?

Answer: No, it won’t trigger an audit. If you’re expecting a refund, they might adjust it to reflect the difference, and send a letter explaining it. No biggie.

Daw: Tax questions you were afraid to ask

Before flouting the law and assuring sleepless nights, check out the experts’ answers to our (discreet) inquiries.

Your Money: Avoiding Tax Audits

Question: depositing more than 10K in a bank at once…..?

I know that if you deposit more than 10K at a bank at once, they will fill out some sort of form and report it to the IRS (or at least I’m told). My question is, what if I deposited $9300 on Wednesday, and I deposit $7K today (two days later) It is over 10K, but it is not at once. Will my bank notice this on some sort of audit and report it to the IRS anyway? I have about another 18K that I need to funnel in before July. I want to take it out of my safety deposit box and into an account that earns interest. The bottom line is that I used to have a side business that sold mattresses wholesale and it was all cash. I never filled out a business licnese, and therefore never reported any of it to Uncle Sam. I don’t want the IRS auditing me to find out where this influx of cash came from and have to pay penalties and back taxes. So is it strictly 10K a day, or do they take a look at all of your deposits if they become abnormally high all fo a sudden? Thank you everyone.

Answer: In the finance world there is this little report that aggregates all
your deposits to find out what is coming in just in case someone
does exactly what you are talking about. The CTR (Currency Transaction Report) used when a cash deposit of 10,001.00 or more is filled out so that the gov. can locate where they suspect money laundering may be happening. If you make two deposits and they equal 15K in a week or even a longer period, you may not have a CTR filled out on you but there is a report for aggregate deposits that can be pulled and usually is standard for EOM (end of month). Oh, the CTR is not usually filled out by the customer/member but by the employee helping you.

Deloitte analyses top trends for the media industry for 2010

January 19, 2010 – The Technology, Media and Telecommunications (TMT) practice at Deloitte today announces its predictions for the media sector in 2010, forecasting that the greatest revenue growth for video-on-demand (VOD) will come from a surprising source: the humble vending machine.

Surviving an IRS Tax Audit : IRS Audit: Fund Sources

Question: My tax refund check has expired.Can I get a replacement.?

The check is about 5yrs. old.
I heard there was a form to apply for a new check but I can’t find it.(imagine that,have you tried to use the IRS website latley?)

Answer: Call the IRS “you can call the Refund Hotline at (800) 829-1954.” I’m sure they will be helpful. I didn’t find the form to get a replacement. I did find the one in case it wasn’t delivered or delivered and unusable.

IRS Tax Tips for the 2010 filing season

Ten Things You Need to Know About Tax Refunds

Finding IRS Debt Relief

Question: Would I need to Amend if I did not file a supporting form?

I asked about the 8606 versus 5329 forms. TurboTax wants me to file 8606, but just in case the IRS wants me to also file 5329, do I need to amend my return? In otherwords, does having to file 5329 mean I need to amend my return or could i just mail that into the IRS if they needed it?

I already submitted it using only 8606 per TurboTax’s instructions.

Answer: No you would not have to file an amended return, you will get a letter requesting the missing form be submitted so that they can complete processing the return,

The New Threat To Your IRA: An IRS Crackdown

The IRS is cracking down on violations of the picky rules around IRAs.