Daily Tax Update - March 13, 2008

PHISHING TOPS IRS LIST OF “DIRTY DOZEN” TAX SCAMS: Today, the IRS announced its 2008 list of the 12 most egregious tax schemes and scams, highlighted by Internet phishing scams and several frivolous tax arguments. New to the “Dirty Dozen” this year is a scheme, which IRS auditors discovered, that relates to unreasonable and/or excessive fuel tax credit claims.

  • Acting IRS Commissioner Linda Stiff said, “Taxpayers should be wary of scams and promises to avoid paying taxes that seem too good to be true. There is no secret formula that can eliminate a person’s tax obligations. People should be wary of anyone peddling any of these scams.”
  • The other scams on the list include, scams related to the economic stimulus payment, frivolous arguments, fuel tax credit scams, hiding income offshore, abusive retirement plans, zero wages, false claims for refund and requests for abatement, return preparer fraud, disguised corporate ownership, misuse of trusts, and abuse of charitable organizations and deductions.
  • Additional information can be accessed via: http://www.irs.gov/newsroom/article/0,,id=180075,00.html

INTERNAL REVENUE SERVICE - CIRCULAR 230 DISCLOSURE:
As provided for in Treasury regulations, advice (if any) relating to federal taxes that is contained in this communication (including attachments) is not intended or written to be used, and cannot be used, for the purpose of (1) avoiding penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any plan or arrangement addressed herein.

STEPTOE & JOHNSON LLP - TAX PRACTICE
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