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Rest Easy: The IRS Is Preparing for IFRS

For the first times since we started paying attention, the TIGTA is simply putting everyone on notice that the IRS is on top of this IFRS thing. No “You suck at this IRS” or “Here’s a list of things you should considering doing if you are interested in not sucking any more, IRS.” Simply, “Here’s what they’re doing. Have a nice day.”

The IRS began developing plans for strategic and operational activities related to the adoption of the IFRS in 2009.

TIGTA found that the IRS: is training employees about IFRS concepts and potential issues; working with the tax preparer community to identify and outline IFRS implementation concerns; and developing procedures to address issues related to IFRS conversion efforts.

“The IRS is appropriately laying the groundwork for its increased oversight of international taxation by gaining an understanding of the International Financial Reporting Standards,” said J. Russell George, the Treasury Inspector General for Tax Administration.

TIGTA did not make any recommendations in this audit and the IRS did not provide any comments on a draft of the report.

Doesn’t quite feel right, does it?

The IRS Is Taking Action to Address the Impact That International Financial Reporting Standards Will Have on Tax Administration [TIGTA]

Panic Isn’t Necessary if Your Tax Preparer Got Swept Up in “Operation Brass Tax”

With less than a week until April 15th, it’s safe to assume that some people are finally getting a tad anxious about the upcoming deadline. If you live in New York and happen to be one of these procrastinators, it may be wise to check with your tax professional, not only because they hate it when you show up on the 13th – 15th with nary a clue about what you earned in 2009 but also because if you’re really unlucky, your tax pro instead was just total shiester and got caught up in “Operation Brass Tax.”


First off, we’ll just say that we’re not sure who at the U.S. Attorney’s Office for the Southern District of New York or the IRS’s Criminal Investigation Division was given the modest charge of naming this particular operation but it obviously sucks. We’re not expecting you have an imagination like JK Rowling or anything but guys, c’mon.

But enough with trivial matters, the main concern is that there are many New Yorkers that are completely going batshit crazy because A) they recently found out that their tax preparer was a robbing them blind and B) they have no idea how they are going to get their tax return filed in less than a week without help because reading the instructions is NOT. AN. OPTION.

Twenty-six phony tax experts in Manhattan and the Bronx have been charged by the SDNY/IRS for pulling a smorgasbord of scams including, “stolen identities of children to falsely claim them as dependents on clients’ returns; claiming “business losses” from fictitious businesses; using stolen identities, including Social Security numbers, of deceased individuals to list as the ‘taxpayers’ on fraudulent returns, and taking the resulting refunds themselves.”

All this chicanery has U.S. Attorney Preet Bharara upset because these tax professionals are supposed to be the good guys!

U.S. Attorney Preet Bharara and IRS Special Agent-in-Charge Patricia Haynes unsealed charges Thursday against the tax preparers. Sixteen were in custody, four had been previously charged and face new charges, and six remain at large. “Professional tax preparers are supposed to be gatekeepers, not facilitators of fraud,” said Bharara in a statement.

Some might argue that this is just another reason why regulating tax preparers is the best idea the IRS has ever had. Of course then you remember that these regulations will probably drive these tax prep lemonade stands underground anyway.

While that’s another matter entirely, there’s no cause for concern. There’s plenty of tax gurus in New York like the guy who got mixed reviews on Craigslist. If venturing to Queens isn’t a solution then you can always, you know, file the extension.

26 NYC Tax Preparers Charged with Tax Fraud [Web CPA]
More New York Tax Trouble:
Investigation Reveals that 30% of Tax Preparers in NYC Lied About Rapid Refunds