Recent Posts in IRS Category

U.S. Department of Justice Cracks Open Another Swiss Bank

LLB Verwaltung (Switzerland) AG, formerly known as Liechtensteinishe Landesbank AG (LLB-Switzerland), a Swiss-based private bank, settled with the U.S. Department of Justice and agreed to pay a penalty of $10,689,554.64. In turn, the Department of Justice agreed not to prosecute the bank for tax-related crimes. The Justice Department’s agreement with Verwaltung AG is part of the Government’s ...

Civil and Criminal Penalties for Failing to File Tax Returns

Income taxes are due to the IRS on or before April 15 th each year. That means, unless you requested an extension, you must file your tax return and pay your tax by April 15 th . An extension gives you time to file the tax return but taxes need to be paid by April 15 th . Civil Penalties The IRS can impose separate civil and criminal penalties for failing to file taxes and failing to pay taxes. ...

What Lawyers Need to Know About Currency Reporting

Many attorneys are unaware of the legal requirements to report currency transactions. On one occasion, I was speaking to about 90 attorneys on the legal requirements to report currency received in the practice of law. At the beginning of my presentation, I asked how many of the audience had knowledge of currency reporting requirements. There were four lawyers who raised their hands. Each of them ...

CPA Sentenced to 5 Years in Prison for Aiding in the Preparation of False Income Tax Returns

The Justice Department, as well as the Internal Revenue Service Criminal Investigation Division, vigorously enforce Title 26 U.S.C. §7206 (2), which is commonly known as the "Preparer" statute. This law makes it a felony that is punishable by imprisonment for up to 3 years, and a fine of not more than $100,000 for any person who willfully aids, assists, procures or advises the preparation or ...

When Cheating Spouses Cause the IRS And Prosecutors To Come After You

We routinely discuss IRS enforcement trends, but rarely in conjunction with family law matters. News outlets routinely report the divorce rate to be around 50% in the U.S., with infidelity often cited as the leading cause. A less reported reason is when one spouse is convicted of a felony. While infidelity often refers to an affair, it can also refer to a spouse failing to honor his or her ...