Warning Signs of Tax Preparer Fraud
Promises of Large Refunds: Be cautious if a preparer guarantees a large refund before seeing any documentation or understanding your tax situation.
Fees Based on Refund Size: Charging a fee based on the amount of your refund is a red flag. Reputable tax preparers charge a flat fee or an hourly rate.
Unwillingness to Sign the Return: Preparers who refuse to sign the return or ask you to sign a blank return are likely engaging in fraudulent practices. The preparer is required by law to sign the return and include their Preparer Tax Identification Number (PTIN).
Requesting Cash Payment: Preparers who demand payment in cash and refuse to provide a receipt could be attempting to avoid detection.
Altered Bank Information: Always double-check that the bank account information on your tax return is correct and belongs to you.
ERC Voluntary Disclosure Program
Voluntary Disclosure Program: The Employee Retention Credit has been a valuable lifeline for businesses during the pandemic, offering substantial tax relief to help them retain employees. However, the complexities of the eligibility requirements, interaction with other relief programs, and the potential for audits make it essential for employers to carefully review the rules and maintain proper documentation. Consulting with a tax professional can help ensure compliance and maximize the benefits of the ERC.
Restoration of the IRS Criminal Investigation Division
Increased Criminal Investigations: The IRS is restoring and expanding its Criminal Investigation division, focusing on prosecuting serious cases of tax evasion, fraud, and other financial crimes. This includes collaboration with other federal agencies and international partners.
Focus on the Gig Economy
Gig Worker Reporting: With the rise of the gig economy, the IRS is focusing on ensuring that gig workers report all income, including income from side jobs, freelancing, and other non-traditional employment arrangements. The IRS is issuing guidance and conducting outreach to gig workers to improve compliance.
Heavy Use Truck Tax Deadline
The Heavy Use Truck Tax, also known as the Heavy Highway Vehicle Use Tax (HVUT), is an annual tax that applies to vehicles with a gross weight of 55,000 pounds or more that operate on public highways. This tax is reported on IRS Form 2290. Here's what you need to know about the deadline:
Annual Filing Deadline:
Due Date: The HVUT must be filed annually by August 31 for vehicles that were used on public highways during the previous tax period, which runs from July 1 to June 30. FOR 2024, THE DEADLINE IS TUESDAY, SEPTEMBER 3, 2024!
Tax Year: The tax period for HVUT begins on July 1 of the current year and ends on June 30 of the following year.
First Use Filing Deadline:
For New Vehicles: If you first use a vehicle on a public highway during any month other than July, you must file Form 2290 and pay the HVUT by the last day of the month following the month in which you first used the vehicle.
Example: If you start using a new heavy vehicle in December, the HVUT is due by January 31.
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