Scam alerts

Scam artists will forever invent new ways to take people's hard-earned money. During troubled times, they work to use people's fear to their advantage. CPAsuccess.com points out the following scams (which the AICPA and U.S. News and World Report have warned about:

1. "We can magically repair your credit...for an upfront fee!"
2. "Your bank has changed hands, so please send us you personal information."
3. "You can make big money working from home...for an upfront fee!"
4. "There's been unusual activity on your credit card, so we need to verify your card number."
5. "You can get stimulus cash...for an upfront fee!"
6. "You are eligible for more favorable mortgage terms...for an upfront fee!"

The lesson from these? Always keep these two things in mind: Rule 1: Be very, very careful about providing personal information over the phone or via email. Rule 2: Don't pay a "small upfront fee" for promise of a big payout later.

Mr. Bill gets shut down

The IRS raided the offices of a Florida tax practice called Taxes by Mr. Bill. The firm is accused of stealing clients' refunds. The raid resulted from customer complaints to police. Personally, I'd rather not have my taxes prepared by a claymation character in the first place, but that's just me. (Sources: WebCPA, The Tax Lawyer's Blog)

Divorce of actress Kate Walsh causes trouble

WebCPA reports that "the estranged husband of actress Kate Walsh has filed papers asking a judge to force her accounting firm to produce more financial information about her and their home." Alex Young married actress Kate Walsh, the star of Private Practice, and then filed for divorce 14 months later. He filed a petition to force their accounting firm to provide him with more financial data in April, during the height of tax season. The accounting firm responded by asking the court for an order of protection against Young, claiming: "Young is intent on harassing London, a non-party accounting firm, on the week before the tax-filing deadline through a series of cryptic, threatening and abusive letters.” Lifestyles of the rich and famous, I guess. (Hat tip to Tweeter @WebCPAtweets.)

FTB mails notices about e-pay

The FTB has announced the latest installment in the ongoing saga of mandatory electronic payment for certain individuals. If you meet the threshold for e-pay, you will likely receive a letter in the mail notifying you of the mandatory e-pay (here's a sample letter). You do not need to take any action in response to this notice. Starting next year, you'll need to make tax payments electronically (here's info on how). If you have a few minutes to kill and are interested in the ongoing saga of mandatory e-pay, you can visit our previous posts from November, January, and April.

Obama targets multinational corporations

The President announced today his administration's plans to crackdown on tax loopholes for U.S.-based multinational corporations, which he says will save $210 billion over the next 10 years. He began his remarks with this statement: "Let's begin with a simple premise: Nobody likes paying taxes, particularly in times of economic stress. But most Americans meet their responsibilities because they understand that it's an obligation of citizenship, necessary to pay the costs of our common defense and our mutual well-being." Click here more information on this morning's announcement.

Tax deadlines for May & June

Even though the dreaded April 15 tax deadline has passed, more deadlines loom ahead. Here are the key tax deadlines for May & June: May 15: Non-profit tax returns are due. June 15: Quarterly estimated tax payments are due for the 2009 calendar year. This applies to individuals and corporations. June 15: LLCs must pay their estimated 2009 California gross receipts fee. The fee applies to LLCs with annual California gross receipts of at least $250,000.