Scott Gottlieb, CPA

105 Maxess Road, Suite N116
Melville, New York 11747

Office: 631-574-4484 or 631-253-CPA2

631-574-4484 phone
American Institute of CPA'S
Member of BNI
Certified Quickbooks Pro Advisor
Registered In NY

certified quickbooks proadvisor
  For My Clients
  City/State/Federal Tax Forms & Revenue Links
  IRS Information For All
  NYC Business Forms
  State Business Forms
  Federal Business Forms
  Quickbook Updates
  Links of Interest
  U.S. Tax Code
  Tax & Government Links
  Tax Humor & History
  Contact Us
  Articles & News
  Current Article
  Archived Tax Articles
  American Recovery
Reinvestment Act 2009
  Archives Interest Sites

Balance Budget Act 1997


Never Underestimate the Value of A CPA

Pet Adoption










May 2006

From the IRS Website

IRS Obtains More Than 100 Injunctions Against Tax Scheme Promoters

FS-2005-15, April 2005

The Internal Revenue Service announced today that it has obtained civil injunctions against more than 100 promoters of illegal tax avoidance schemes and fraudulent return preparers in an ongoing crackdown that began in 2001.

Many of the injunctions, obtained in cooperation with the Department of Justice, also order the promoters to turn over client lists and to cease preparing federal income tax returns for others.

Signaling a renewed fight against tax fraud, the federal government stepped up the use of civil power four years ago. Civil injunctions have subsequently been used to stop:

Abusive trusts that shift assets out of a taxpayer’s name but retain that taxpayer’s control over the assets.
The misuse of “Corporation sole” laws to establish phony religious organizations.
Frivolous “Section 861” arguments used to evade employment taxes.
Claims of personal housing and living expenses as business deductions.
"Zero income” tax returns.
Abuse of the Disabled Access Credit.
The claim that only foreign-source income is taxable.
The IRS becomes aware of abusive promoters through a variety of means, including ongoing examinations, Internet and media research or referrals from external sources such as tax professionals. If the findings of an investigation support a civil injunction, the IRS refers the case to the Department of Justice.

If the Justice Department concurs, it files suit against the promoter requesting that the court order the promoter to refrain from the fraudulent activity. Depending on the facts and circumstances of the case, the court may issue a temporary restraining order, a temporary injunction or a permanent injunction.

At present, the courts have issued injunctions against 99 abusive scheme promoters –– 81 permanent injunctions and 18 preliminary injunctions. They have issued injunctions against 17 abusive return preparers –– all permanent injunctions. The Justice Department has filed an additional 49 suits seeking injunction action –– 28 against scheme promoters and 21 against return preparers.

The IRS is currently investigating more than 1,000 additional promoters for possible referral to the Justice Department and conducting individual examinations on thousands of tax scheme participants.

“I encourage the public to bring questionable promotions and abusive preparers to our attention,” said Kevin M. Brown, commissioner of the IRS Small Business/Self-Employed Division, which conducts most of the IRS investigations. “We give serious attention to every referral we receive.”

To report an abusive tax scheme promoter or return preparer, taxpayers can call the tax fraud hotline at 1-800-829-0433.





1997-2009 Scott Gottlieb, CPA. All Rights Reserved.

Disclaimer/Use of Site

The materials on this Web site are for informational purposes only and are not intended and should not be construed as accounting advice. This information is not intended to create, and receipt of it does not constitute, a CPA-Client relationship. You should not act upon this information without seeking counsel from a Certified Public Accountant