American Expats Sue Canada over FATCA

Two American expatriates residing in Canada have filed suit against the Canadian government for its compliance with the U.S. government’s controversial Foreign Account Tax Compliance Act (FATCA). Enacted in 2010, but only recently coming into effect, FATCA requires foreign banks to disclose account information to the IRS from all “U.S. persons”, a term that includes dual nationals and citizens now residing abroad. The U.S. government’s goal is to stop offshore tax evasion and require account dis...

IRS Too Slow in Tax Fraud Complaint Processing

According to a report published on September 4th by the Treasury Inspector General for Tax Administration (TIGTA), the Internal Revenue Service is processing citizen complaints of tax fraud by tax preparers slowly and inefficiently. In 2013, about 77 million individual tax returns were prepared by paid preparers, and fraud committed by tax return preparers is an increasingly substantial issue for both taxpayers and the IRS.   Processing of taxpayer complaints by the IRS regarding tax preparer fr...

Wine Co. Exec Sentenced for Tax Evasion

A former executive of the WineTasting Network has been sentenced to 33 months in prison for tax evasion & embezzling over $894,000 from the California-located Internet wine business, according to federal prosecutors.  In April of this year, Martin Christopher Edwards pled guilty to federal charges of tax evasion, wire fraud, and mail fraud for setting up a fictitious tax compliance trust for his company, which was supposed to provide tax services to wineries and wine companies. Edwards then...