10 Jan Newsletter January 10th, 2019
Inside this edition: What Brought Down Michael Cohen? , Where in the U.S. is Jeffrey Schneider?, 2018 Tax Tips, 2018 Sales Surtax Changes, Medical Doctor Tests the IRS, What Are the Panama Papers?, IRS Question & SFS Answer, For the foodies…Slow Cooked Cajun-Style Louisiana Ribs
January 10, 2019
Inside this edition:
- Where in the U.S. is Jeffrey Schneider?
- 2019 Tax Tips
- What Brought Down Michael Cohen?
- 2019 Sales Surtax Changes
- Medical Doctor Tests the IRS
- What Are the Panama Papers?
- IRS Question & SFS Answer
- For the foodies…Slow Cooked Cajun-Style Louisiana Ribs
Where in the U.S. is Jeffrey Schneider?
Tax Season Begins- Jeff is behind his deck in the Stuart, FL office
January 22-24- Washington DC for IRSAC Meetings
About the SFS Tax Problem Solutions App…
- Submitting your IRS notice/letter
- Ask Jeff a question about your tax problem
- Order the Now What Help! book
- New clients – request your Free tax resolution consultation
- Read what clients have said about us
- Share a review
- Read our latest blog
- Find out more about us and how we can help you
- And more
2019 Tax Tip
The standard deduction amount for joint filers went from $12,700 to $24,000.
County Sales Surtax Changes
- Martin County .5%
- St Lucie County .5%
- Broward County 1%
The government may be shut down, but SFS Tax is up and running.
You may not have all your forms yet, but it isn’t too early to begin your tax prep.
Click on the image or
click here to book your Stuart appt.
Call 772-337-1040 for Royal Palm Beach.
In the News!
What Brought Down Michael Cohen? Tax Evasion!
Once again, it’s tax evasion that is sending Michael Cohen, President Trump’s former attorney, to prison. Charges were brought by Federal Prosecutors in New York.
Cohen was sentenced to 36 months in prison, which in part was for five counts of tax evasion.
The tax evasion charges stem from his failure to report income earned from his taxi fleets in New York and Chicago on his 2012-2016 income tax returns totaling over $4 million. Also, Cohen failed to report $100,000 he made selling property in Ocala, FL in 2014, a $30,000 profit he earned for arranging the sale of a couture Birkin handbag and $200,000 in consulting fees he made from an assisted-living company.
In addition to jail time, as part of his plea deal, Cohen has agreed to pay restitution to the Internal Revenue Service in the amount of $1.5 million.
What are the Panama Papers?
Leaked by an anonymous source in 2015, the Panama Papers as they are now known as, contained 11.5 million documents detailing financial and attorney/client information taken from Mossack Fonseck.
The leaked documents contain identity information about the shareholders and directors of 214,000 shell companies set up by Mossack Fonseca as well as some of their financial transactions. While having offshore accounts is not illegal, not reporting them to the IRS is a violation of the Foreign Bank and Financial Account (FBAR) in the US.
According to The Economist, “The most obvious use of offshore financial centers is to avoid taxes. Tax havens are at the core of a global system that allows large corporations and wealthy individuals to avoid paying their fair share.”
The list of names in the papers included heads of states from around the world, including Vladimir Putin, Mauricio Macri, President of Argentina and Petro Poroshenko, President of Ukraine, members of organized crime cartels, wealthy individuals including 9 from the US, and celebrities such as Stanley Kubrick, David Geffen, Emilio Estevez and Bobby Fischer. Sports stars Tiger Woods and MBL player Alfonso Soriano are also listed.
Medical Doctor Tests the IRS
As shown in court, Dr. Hummel purchased a home from a friend, who repaid Hummel for the purchase a short time later. While being interviewed by Special Agents from the IRS regarding the real estate transaction, Dr. Hummel falsely stated that he rented the property to the original owner and tried to support this statement with a sham lease.
Dr. Hummel faces a maximum of three years in prison, supervised release and monetary fines. His sentencing is scheduled for March 26, 2019.
Questions and Answers
Question: I’ve been getting letters from the IRS saying I owe back taxes. My tax problem is taking over my life, and I can’t sleep. What should I do?
Answer: Owing money to the IRS or State can be intimidating and throw your life out of whack, but ignoring your back taxes will only make things worse. Taking immediate action is essential.
The IRS has over 148 types of penalties they can assess, and the worst part is they can also charge interest on the original penalties. Penalties can be a high percentage of the total amount owed to the IRS.
The IRS has ten years to collect from the date you filed your return, and they won’t go away. Not only can they freeze your bank account and take the money, but they can garnish your wages and legally take as much as 75% of your net paycheck, without a court order!
You need a professional expert to help you deal with the IRS. You can’t do this on your own. Going or talking to the IRS without expert representation could be the worst thing you can do. The Taxpayer Bill of Rights allows you to be represented by a qualified practitioner who can negotiate a resolution to the IRS in your best interest.
The Now What Help! Series
Defining and deconstructing the scary and confusing letters that land in your mailbox. Jeff defines and deconstructs the scary and confusing letters in a fashion that mixes attention to detail with humor and an intricate clarification of what is what in the world of the IRS.
The books are available in paperback and ebook on https://amzn.to/2LR55YR
A Bit of Tax Humor…
Why did the auditor cross the road?
Because he looked in the file and that’s what they did last year.
How can I help you?
If you have a state or IRS issue, or just want to refer a friend, relative or client, I’d love to hear from you. I can provide a no-obligation, confidential consultation to help you solve your IRS problems.
Thank you for your kind words
Slow Cooked Cajun Style Louisiana Ribs
The holidays are over. Visiting the retail stores daily is in the past. Our day-to-day existence is back to the naturally hurried pace that we all seem to live with and thrive in.
Stress levels are rising as many of us begin to compile the information needed to file our delinquent and current taxes.
Some people turn to exercise, others to drink or drugs but many of us depend upon food to help us relax and restore our good cheer.
I can only assist with some great comfort recipes for the foreseeable future. My slow cooker is my savior during tax season and this recipe for slow-cooked cajun-style Louisiana ribs are excellent. I have tried other variations of this recipe but Jeff finds this the most tasty. Enjoy!!