IRS
has directed new attention and criminal prosecution efforts on what
it terms the “Employment Tax Enforcement Program.” For
example, the official IRS Website, www.irs.gov, explains in detail
its program in this area. Major focus areas are employment tax
evasion schemes such as “pyramiding” (withholding the taxes from
employees, but intentionally not remitting them to IRS); abusive
employee leasing practices; cash payment of wages to employees to
avoid income tax and social security/medicare tax withholding;
failing to file withholding tax returns, or filing false employment
tax returns.
The Criminal Investigation Division portion of the IRS Website
contains several case examples of prosecutions in 2000, 2001 and
2002 for such violations.
The Special Agent in Charge of the IRS Criminal Investigation
Division in Dallas was interviewed extensively by the Dallas Morning
News. The interview was published on the News editorial page
on March 11, 2001. He stressed that his agents are diligently
looking at employment tax situations. |
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| A
word to the wise |
|
If
you have employment tax problems, get professional help.
Do not wait. Delay in acting on such concerns causes
stress and can be a serious mistake.
|
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