SFS Tax Problem Solutions Newsletter – October 10, 2019

Inside this edition:The IRS Exercises its Right to File Lien on Former Fitness Guru, Houston Attorney Tries to Outsmart the IRS and Loses, The Stars of “Chrisley Knows Best” Reality Series Prove—They Really Don’t!, Pediatric Office Manager Finds Out the IRS Isn’t Kidding Around, Your IRS Question & SFS Answer, What folks have to say about us, For the foodies…Apple Bundt Cake, A Bit of Tax Humor

October 10, 2019

Inside this edition:

In the News…

  • Houston Attorney Tries to Outsmart the IRS and Loses
  • A Few IRS Qirky Facts
  • The Stars of “Chrisley Knows Best” Reality Series Prove They Really Don’t!
  • Pediatric Office Manager Finds Out the IRS Isn’t Kidding Around
  • The IRS Exercises its Right to File Lien on Former Fitness Guru

Interesting Reading…

  • IRS Question & SFS Answer
  • What folks have to say about us
  • For the foodies…Apple Bundt Cake
  • A Bit of Tax Humor

Call 877-355-8010 for more information about our services

In the News!

money-handcuffs-taxes-postit-note-SFS-1.

Houston Attorney Tries to Outsmart the IRS and Loses

 

Jack Stephen Pursely, an attorney from Houston, TX, was convicted of three counts of tax evasion and one count of conspiracy to defraud the United States in September.

According to evidence shown during the trial, Pursely conspired with a former client to move more than $18 million the client had earned through his company, Southeastern Shipping. The company’s business bank account was held on the Isle of Man, where the untaxed funds were then transferred to the United States. Pursely helped to conceal the transfer of funds from the IRS by disguising the transfers as stock purchases in United States corporations owned and controlled by Pursely and his client.

So, Pursely received more than $4.8 million and a 25% ownership in his client’s business for his role in the conspiracy. From 2009 to 2010, Pursely failed to report and pay income taxes owed on these payments by withdrawing the funds as purported non-taxable loans and returns of capital. He used the money instead to purchase personal assets, including a vacation home in Vail, Colorado, and property in Houston, Texas.

A sentencing date is scheduled for December 9th, where he faces a statutory maximum sentence of five years on the conspiracy count, and five years for each count of tax evasion, plus a period of supervised release, monetary penalties, and restitution.

IRS Facts-hands-SFS

A Few IRS Quirky Facts

 

 Commissioner of the IRS Was Convicted for Tax Fraud

Joseph D. Nunan, Jr, the IRS commissioner from 1944 to 1947, was sentenced to five years in prison and ordered to pay a fine of $15,000 for tax fraud. In 1933, Nunan began withdrawing large sums of money from his bank, fearing the bank would collapse, and kept the money at home. He later deposited the money in other banks. However, it was unclear if this was new income as it could not be tracked. Nunan also won $1,800 on a bet predicting that Harry Truman would defeat Thomas Dewey. On tax returns filed from 1946 to 1950, Nunan did not declare or pay taxes on fees he received for legal services he earned from his firm.

The IRS Has A Plan To Resume Tax Collection a Month After A Nuclear War

In 1989, the IRS updated its employee manual with information detailing the agency’s response to a nuclear war. According to the manual, the IRS will resume tax collection within 30 days of a nuclear attack. Tax collection efforts will be concentrated on areas that produce the most taxes. The manual also states that the staff is to focus on collecting current taxes because the widespread destruction could make it challenging to recover previously owed taxes.

woman-money-SFS- Its mine

Pediatric Office Manager Finds Out the IRS Isn’t Kidding Around

 

Terra Ferguson, from New London, NC, was sentenced to 14 months in prison after pleading guilty to one count of failing to collect, account, or pay for payroll taxes.

Court documents indicate that from 1992 through September 2016, Ferguson was employed as the office manager at a pediatric office, where she had complete control over the office’s finances. Part of Ferguson’s responsibilities included collecting, accounting for, and paying over to the IRS the payroll taxes, which were deducted from the employee’s wages.

From March 2011 through September 2016, Ferguson withheld approximately $78,937 in payroll taxes and an additional $35,472 for the employer’s share of employment taxes that should have been turned over to the IRS. Instead, Ferguson used the money to pay her personal credit cards, funded private business ventures involving a mountain cabin rental and bar, paid for vacations, and issued checks to herself for $1.4 million, all from the business’ bank accounts.

In addition to jail time, Ferguson will serve three years of supervised release and pay restitution for $374,101.

scale of justice- gavel-book-SFS (1)

The Stars of “Chrisley Knows Best” Reality Series Prove—They Really Don’t!

Todd and Julie Chrisley, the stars of the USA Network reality show, “Chrisley Knows Best,” and their accountant, Peter Tarantino, were indicted in August 2019 on 12 counts of tax evasion, and bank and wire fraud conspiracy.

According to the indictment, the couple failed to timely file federal tax returns or pay income taxes for the period from 2013 through 2016. Additionally, the charges include defrauding many banks by obtaining millions of dollars in loans using false information provided to the lending institutions, including inflated account balances, fake invoices, and audit paperwork.

Todd Chrisley blames a disgruntled former employee, who the couple says was stealing from them, forging their signature and bugging their home, in the act of retaliation after he was fired. Chrisley claims that the employee not only was stealing from the family but, “Took a bunch of his phony documents to the U.S. Attorney’s office and told them we had committed all kinds of financial crimes, like tax evasion and bank fraud.” Chrisley went on to explain that, “We have nothing to hide and have done nothing to be ashamed of.” He says he has a lot of evidence to prove he and his wife Julie are innocent.

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The IRS Exercises it’s Right to File Lien on Former Fitness Guru

Richard Simmons, known for his, “Sweating to the Oldies” workout videos, has been hiding out in his home for the past five years. He has tax liens on his business and property for $24,000. The IRS claims that Simmons owes this money for years of back taxes between 2007-2015.

Simmons disappearance years ago prompted his friends to contact the LAPD to perform a welfare check. In 2013, the police did make contact with Simmons, who said he simply wanted to take a break from public life. His status was such a mystery to some that there was a podcast series called, “Missing Richard Simmons” about his whereabouts.

magnifying glass-SFS Q&A

Question: I’ve finally decided to seek help from a Tax Professional who specializes in Tax Problem Resolution. I want to start getting my paperwork together for the appointment; what will I need to bring with me?

Answer:

It’s imperative to have your documentation with you for the initial interview. Your tax resolution specialist will need this info to determine the best way to move forward to resolve your tax issues.

The items to bring include:
The most recent IRS/State tax notices and collection letters;
Copies of your last two years of filed income (1040) tax returns;
A monthly household cash flow budget by expense category (list all outflows of money)
Bring your most recent paystubs with YTD info verifying income from all sources and all withholdings and payroll deductions;
If you are self-employed, an independent contractor, or small business owner, prepare a “rough draft” current profit and loss statement. If this is not possible, just bring your Schedule C from your most recently filed 1040;
Bring a list of any quarterly estimated tax payments made for the current year

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
book 2- now what help

Thank you for your kind words

“Jeff is the best there is. If he can’t help you, nobody can.”
~Kenneth Mullinax

How can I help you?

If you have a state or federal tax problem 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.

877.355.8010
Jeffrey Schneider,
EA, CTRS, ACT-E NTPI Fellow
Email: jeff@sfstaxacct.com
738A Colorado Ave
Stuart, FL 34994
www.sfstaxproblemsolutions.com

Apple Bundt Cake

apple bundt cake with knifeA few weeks, I was dropping off some paperwork at Colorado Pawn and Jewelry and while I was waiting for Steve, I wandered around the store. Of course, I had to spend some time perusing the jewelry counters; they sure had some lovely diamond pieces! As I continued looking around, I spotted a brand new Kitchenaid (stainless finish) at a very reasonable price.
What many of you don’t know about me is that I can be very frugal or as Jeff and my daughter Marissa say, I’m cheap! Jeff bought me one many years ago, and I promptly returned it. My thoughts were that I preferred cooking to baking, and it wasn’t worth the money. I still have my little hand mixer (from the ’70s, it’s harvest gold) for the times that I need one.
Fast forward about fifteen years, I began a half-hearted search on Facebook Marketplace. It was fate that Steve had one in the store on the day I was there. I am now a happy owner of the mixer.
I am committed to finding an excellent thin pizza dough recipe. If you have one, please share it with me, ali.sfsax@gmail.com. The last two recipes I tried were so-so. However, this past weekend, I baked an apple bundt cake. It was yummy! The image above, is my finished cake

Find the recipe on the SFS Tax Problem Solution Pinterest page along with other pins and videos.

A Bit of Tax Humor…

~The Unknown Comic

 

SFS Tax Problem Solutions
info@sfstaxacct.com | 877.355.8010 | sfstaxproblemsolutions.com

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