Scams

Tax frauds are constantly changing the methods they use to dupe taxpayers, but there are ways taxpayers can use to recognize a tax scam before it affects them. Some of the most used ways to conduct tax fraud are using fake charitable organizations, phishing, fraud by tax preparers, and identity theft. If taxpayers keep their…

Many taxpayers fall victim to tax frauds for various reasons, including avoiding or evading taxes. Paying taxes may not be fun, but illegally minimizing one’s tax liabilities can attract severe punishment, including imprisonment, fines, and penalties and interest. Therefore, taxpayers must ensure they keep themselves protected from attractive tax schemes that promise large financial gains….

Tax scammers use temptation of money and lies in order to obtain financial or personal information from unsuspecting taxpayers. Taxpayers can protect themselves from tax scams by researching the common methods scammers use and obtaining accurate information on the IRS’ programs and procedures. From fraudulent tax preparers to fake charitable trusts, taxpayers can encounter tax…

Avoiding paying taxes by reducing the amount can be achieved through various legal or illegal means. Illegal means can include shifting income and assets, under-reporting income, and using false deductions. Tax avoidance is unlawful and punishable under law. Tax scammers try to encourage taxpayers to use illegal methods to reduce their tax liability, many times…

Apple Inc. is unapologetic about its tax strategy in Ireland, which helps the company evade taxes in the U.S. legally. The company is accused of using loopholes in the tax code to minimize its tax liability. An investigations into the tax strategy of Apple led investigators to Ireland where the company has subsidiaries that pay…

Tax frauds know that after a big tragedy, people will donate money to help the victims. These scammers steal the money that is advertised to help victims of tragedies. Scammers pose as charities and contact people through phone, email, in-person or social networking sites asking them to donate money for a cause. To earn the…

With tax filing season over, most taxpayers believe the threat of tax fraud is over as well but the reality is that tax frauds use the tax downtime to make quick money. After tax season, frauds begin to target taxpayers who have yet to file, or filed for an extension and are due refunds. Late-filers…

The IRS tried to make it mandatory for tax preparers to have a PTIN (Preparer Tax Identification Number), but a judge ruled that the IRS didn’t have the authority to do so. Tax Defense Network advises taxpayers to be careful when choosing a preparer to file their taxes. Taxpayers complain that some tax preparers advertise…

Identity theft is being conducted not only by gangs, but by seemingly unlikely people, such as store owners. A Washington D.C. barbershop owner was found guilty conducting an elaborate identity theft and tax fraud scheme. He and his accomplices stole the tax identities of deceased taxpayers, drug addicts, and others to file more than 7,000…

Tax relief scams have been rocking the country since decades. Recently, tax fraud of many top tax companies made headlines. Top tax relief companies namely Tax Masters, J.K. Harris, American Tax Relief, Roni Deutch and Tax Relief ASAP were found to be deep in tax relief scams. The fraud of scam tax companies was discovered…