By month: June 2007

Your First Home Could Be Your Best Investment Ever

To rent or to buy? That is a question. Use this easy software that comes with this article to find what’s best, after taxes—no guesswork. Identify 12 reasons why renting is best. Identify 11 reasons why buying is best. Consider everything in just a few minutes.

Dentist Goes to Prison for Tax Fraud

Roy Lewis, a dentist from California, was sentences to 2 years in prison for tax evasion. He was involved with Tower Executive Resources, a Denver-based company that set up a failed tax-evasion scheme with false invoices, bogus tax deductions, and secret offshore bank accounts.

Tax Guy Commits Fraud; Client Pays the Government

Vincent Allen hired a tax preparer to file his tax returns. The preparer was charged with fraud. Although the IRS did not bring the fraud charge against Allen, users of fraudulent preparers could easily be charged and convicted of fraud themselves.

Convention Boondoggle Area Expanded

Tax law divides conventions into two areas: the North American area and everything else. When you are outside the North American area, the rules do about everything possible to make your convention trip nondeductible. So, if your group is not a worldwide group, attend only conventions in the defined North American area. However, there are a lot of locations that count as North America in which you can attend a conference and deduct.

Tax Quiz—IRS Audit

4% of Americans are audited each year. Do you know what two line-item expenses are most vulnerable to a Schedule C audit? Take our quiz and find out!

No Good Deed Goes Unpunished

Do not use your Social Security number to collect income on behalf of any other person. This will create nothing but trouble for you.

Jail Time for Not Filing Tax Returns

Anthony Lee was sentenced to seven months in prison and three months of home detention for failure to file his tax returns. He owed $76,853 in taxes and an extra fine of $10,000. Know the law!

Renting Property to Your Corporation Problem

Section 280A(c)(6) forbids the home-office deduction when you rent home-office space to your corporation. Whenever you have transactions with or your owned corporations, partnerships, and other entities, you face rules in the tax . As Gary and Delores Beecher recently , of the related-party rules produce harsh results.

Getting More Vehicle Deductions

We help one business owner plan her vehicle purchases. She uses her husband’s car on occasion, and wants to purchase a new SUV for her business. We give information both on the larger-scale, and specific to her case.


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