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IRS Launches First Wave Of Small Business Attacks
Personal Liberty Digest ^ | May 27, 2010 | Dan Pilla

Posted on 05/27/2010 9:44:32 AM PDT by TCH

(Initial Focus on Employment Tax Compliance)

When the Internal Revenue Service (IRS) released its five-year strategic plan last year it promised a flurry of new attacks on the public in a variety of areas. Referred to by the IRS as “enforcement initiatives,” these attacks constitute the key areas the agency will target for increased audit attention in the years to come. What was a mere promise last fall of more audit activity is now a reality. The IRS just recently launched the first wave of audit attacks.

In reviewing the IRS’s strategic plan it came as no surprise to me that the lion’s share of this new audit attention would be focused on small businesses. What did surprise me is the level of aggressiveness with which the IRS intends to carry out the attack. The agency identified four specific areas that it will focus on. I reveal them here.

1. The mis-classification of workers as independent contractors (ICs)

2. Employment tax return non-filers

3. Payment of fringe benefits to employees

4. Payment of compensation to corporate officers

(Excerpt) Read more at personalliberty.com ...


TOPICS: Business/Economy; Culture/Society; Front Page News; Government; News/Current Events
KEYWORDS: audit; business; employment; finreg; irs; obamacare; smallbusiness
Let the Games BEGIN!
1 posted on 05/27/2010 9:44:32 AM PDT by TCH
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To: TCH

Bigger firms hire more lawyers and lobbyists.

All animals are equal. Some are more equal than others.


2 posted on 05/27/2010 9:48:04 AM PDT by a fool in paradise (Throw the bums out in 2010.)
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To: TCH

Small business needs destroying.

Pray for America


3 posted on 05/27/2010 9:48:48 AM PDT by bray (No You Don't!)
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To: TCH

What better way to help usher in socialism than to wreck the middle class, who make up the majority of business owners, than to force them out of business via increased regulation and then stepped up brutal enforcement.

I’m sure if these business owners simply turn everything over to the government they will be fine. Also, business owners may not want to wear glasses any longer...


4 posted on 05/27/2010 9:54:15 AM PDT by Obadiah (I can see November from my house!)
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To: TCH; Jet Jaguar; NorwegianViking; ExTexasRedhead; HollyB; FromLori; EricTheRed_VocalMinority; ...
The list, ping

Let me know if you would like to be on or off the ping list

5 posted on 05/27/2010 9:55:13 AM PDT by Nachum (The complete Obama list at www.nachumlist.com)
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To: TCH

WE NEED the “FAIR TAX” and there will be NO MORE IRS


6 posted on 05/27/2010 9:55:29 AM PDT by Paige ("All that is necessary for the triumph of evil is that good men do nothing," Edmund Burke)
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To: TCH

SMALL BUSINESS are the ECONOMIC GROWTH ENGINE of the U.S.!


7 posted on 05/27/2010 9:55:46 AM PDT by nmh (Intelligent people recognize Intelligent Design (God).)
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To: bray
Small business needs destroying.

Did you forget the sarcasm tag?

8 posted on 05/27/2010 9:59:31 AM PDT by Moonman62 (The issue of whether cheap labor makes America great should have been settled by the Civil War.)
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To: TCH

Must be part of the Rats’ job creation program.


9 posted on 05/27/2010 10:03:02 AM PDT by beethovenfan (If Islam is the solution, the "problem" must be freedom.)
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To: LisaAnne

ping


10 posted on 05/27/2010 10:08:56 AM PDT by null and void (We are now in day 490 of our national holiday from reality. - 0bama really isn't one of US.)
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To: TCH
Because of the technology of increasingly high communication bandwidth, small business would far and away become the economic engine of an enterprising nation. That is, with that bandwidth leverage, relatively small businesses can imagine, develop, and manufacture goods of any sort, every bit or more effectively than large bureaucratically burdened corporations.

But large corporations can be bought, controlled, and union manipulated by centralized government. That is one critical aspect of Leftism. Siemens, Messerschmidt, etc. were all large corporations controlled by a fascist (leftist) government, likewise in the Soviet Union, Gasprom, and in the US, GM and maybe less obviously GE.

How many US adults out there realize this?

It is free enterprising competition that improves all of us.

11 posted on 05/27/2010 10:12:43 AM PDT by jnsun (The Left: the need to manipulate others because of nothing productive to offer.)
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To: jnsun
But large corporations can be bought, controlled, and union manipulated by centralized government

Large corporations don't need to be bought, controlled and manipulated by government. They are only too happy and eager to jump in bed with government and together work to insulate against the difficult aspects of competition. Competition and a "free market" are the last things large established corporations want. That is why they routinely support big government candidates, and give huge amounts of money to leftwing crooks who chatter about how bad the capitalists are but take their money and do them favors behind the scenes.

Competition only exists at the small business level, where no one entity can dominate the market for very long, if at all.

12 posted on 05/27/2010 10:26:12 AM PDT by hinckley buzzard
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To: a fool in paradise

“Bigger firms hire more lawyers and lobbyists.

All animals are equal. Some are more equal than others. “

Laws written and promoted to punish big business do not take into effect than there awre many loopholes in them, loopholes that are difficult for small business to jump through, but are easy if you are a foutune 500 with an army of lawyers at your beck and call.


13 posted on 05/27/2010 10:27:43 AM PDT by GraceG
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To: TCH

Another attempt to extract blood from stones.


14 posted on 05/27/2010 10:28:10 AM PDT by norraad ("What light!">Blues Brothers)
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To: TCH

Another attempt to extract blood from stones.


15 posted on 05/27/2010 10:28:10 AM PDT by norraad ("What light!">Blues Brothers)
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To: nmh

A small business owner, with three 1099 “employees”, told me last week that the moment the IRS objects he’s laying all three off. He can’t afford the paperwork required to have regular employees. The unemployment rate is about to go even higher.


16 posted on 05/27/2010 10:32:02 AM PDT by TennMountains
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To: TCH

The incredibly onerous rules on economic associations will choke economic growth. These rules have flown under the radar for many but small businesses are keenly aware of the complexities. The purpose of the rules is to increase government imposed employment costs by restricting economic associations. The government imposes these regulations to increase tax collections. Businesses are easier to audit than individuals. There is also an anti business/pro employee sentiment at work. Employee classification carries a huge collection of onerous regulations and taxes.


17 posted on 05/27/2010 10:33:43 AM PDT by businessprofessor
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To: TennMountains

My son is being chased by these IRS thugs. His accountant tried to electronically file for October 15th, 2009 but the IRS computres continued to deny the app because their tax ID codes didn’t match the returns. He had to mail it in and had all the necessary ppw with it. Dec 2009th he is assessed a $1000 penalty and interest. His accountant refiles and by Macrh 2010 he is denied again. His appeal was filed by April and he is still waiting.

The IRS staff doesn’t do their job the first time, nor the second time, waiting on strike three.

Broken beyond repair.


18 posted on 05/27/2010 10:37:35 AM PDT by George from New England (Escaped CT in 2006, now living north of Tampa)
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To: TCH
The IRS doesn't have the guts to go after Charlie Rangel—who's cheated the taxman for decades—but the guy who operates the local shoe repair shop is dead meat.
19 posted on 05/27/2010 10:52:51 AM PDT by Brad from Tennessee (A politician can't give you anything he hasn't first stolen from you.)
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To: TCH
I'm officially unemployed.

I have no income.

I own nothing that can be seized, liened, or sued away.

I am John Galt, and so can you!


Frowning takes 68 muscles.
Smiling takes 6.
Pulling this trigger takes 2.
I'm lazy.

20 posted on 05/27/2010 10:55:58 AM PDT by The Comedian (Evil can only succeed if good men don't point at it and laugh.)
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To: TCH

For decades, I have very carefully complied with every unreasonable regulation that the Congress and the IRS have created. That became a whole lot easier over the past year and a half as I got rid of all my employees. I won’t put up with that much garbage and paperwork for the sake of the relatively small sliver of profit that I am permitted to keep. My good people I helped set up in business for themselves (yes, they are technically my competitors now, and they’re good, and I refer clients I can’t handle to them). My Obama voter (I had one) got to figure it out for himself, and it went about as well as you’d expect for my worst worker and someone who won’t take initiative or responsibility at the same level as the rest.


21 posted on 05/27/2010 10:57:14 AM PDT by Pollster1 (Natural born citizen of the USA, with the birth certificate to prove it)
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To: TCH; Taxman; Principled; EternalVigilance; phil_will1; kevkrom; Bigun; PeteB570; FBD; Voter#537; ...
The thugocracy that is the IRS can cease to exist by passing The Fair Tax Act(HR25/S296) that will replace all federal income taxes with a national sales tax(not a VAT) and abolish the IRS! Fair Tax ping!


22 posted on 05/27/2010 11:05:01 AM PDT by Man50D (Fair Tax, you earn it, you keep it! www.FairTaxNation.com)
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To: TXDuke

ping


23 posted on 05/27/2010 11:36:26 AM PDT by call meVeronica
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To: All
My God.. How do we continue to allow ourselves to live under this slavery??? When will we Wake The EFF Up!?!?!
24 posted on 05/27/2010 12:11:56 PM PDT by Ferris (Man will come to learn that galaxies are consciousness factories)
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To: Ferris
We are awake. It is just that Obama has upgraded his race card to platinum.


25 posted on 05/27/2010 12:22:52 PM PDT by Dubya-M-DeesWent2SyriaStupid!
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To: TCH
I guess than need to test out all those new shotguns they bought with taxpayer money.
26 posted on 05/27/2010 1:50:59 PM PDT by Gabrial (The Whitehouse Nightmare will continue as long as the Nightmare is in the Whitehouse)
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To: Gabrial
“I guess they need to test out all those new shotguns they bought with taxpayer money.”

Can't spell today.

27 posted on 05/27/2010 1:52:07 PM PDT by Gabrial (The Whitehouse Nightmare will continue as long as the Nightmare is in the Whitehouse)
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To: TCH

throw them to the Lions! /s


28 posted on 05/27/2010 2:05:35 PM PDT by Vendome (Don't take life so seriously... You'll never live through it.)
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To: TCH

They have a problem with paying for fringe benefits for employees? I thought they’d scream if we didn’t.


29 posted on 05/27/2010 9:33:32 PM PDT by ntnychik
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To: TennMountains
"A small business owner, with three 1099 “employees”, told me last week that the moment the IRS objects he’s laying all three off. He can’t afford the paperwork required to have regular employees. The unemployment rate is about to go even higher."

We are near a point that if the State or the IRS try to reclassify our Contract Installers as Hourly employees we are just going to close and declare bankruptcy. We are slowly divesting the Corp of its assets as we wind down the business anyhow. But I will be damned if I will submit to the strong arm tactics of the looters so they can fill their coffers with more of our money (as well as the money of our Contractors).

30 posted on 05/27/2010 9:42:41 PM PDT by Mad Dawgg (If you're going to deny my 1st Amendment rights then I must proceed to the next one...)
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To: The Comedian

You’re not living in your mother’s basement are you?

Just kidding! :) Sort of....


31 posted on 05/27/2010 9:45:04 PM PDT by MWestMom (Tread carefully, truth lies here.)
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To: TCH

How about the new requirement that all small businesses that pay another company more than $600 must send them a 1099-MISC? If you buy a computer from Dell or Wal-Mart for your home business you now have to mail to Dell or Wal-Mart a 1099-MISC and send a second copy to the IRS.

This provision was snuck into the ObamaCare law.


32 posted on 05/27/2010 9:48:09 PM PDT by Gideon7
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To: MWestMom
You’re not living in your mother’s basement are you?

No. Shut up. Leave me alone. You don't understand me. Nobody understands me. Is the Twilight Blu-ray out yet?

;-)


Frowning takes 68 muscles.
Smiling takes 6.
Pulling this trigger takes 2.
I'm lazy.

33 posted on 05/27/2010 9:53:29 PM PDT by The Comedian (Evil can only succeed if good men don't point at it and laugh.)
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To: The Comedian

Bwahahahahah!!!! Now that sounds like what’s living in my basement right now! And God knows I love her.....


34 posted on 05/27/2010 9:55:50 PM PDT by MWestMom (Tread carefully, truth lies here.)
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To: Gideon7

This is very simple.

WE DO NOT CO-OPERATE.

Every American MUST now take it upon themselves to DISREGARD EVERY LAW AN ACT PASSED BY THIS ADMINISTRATION.

Unjust, unconstitutional laws are null, void, and without force. Period.

There is no longer a moral imperative to obey this government. IT IS WHOLLY PERVERTED and MUST be OPPOSED by all means.

It is the DUTY of EVERY AMERICAN to OPPOSE ANY “LAW” affected by Barak Hussein Obama.

The entire Democrat Party should be considered a seditious cabal, and a criminal enterprise. The present government is unworthy of our trust, support or co-operation at any level.

It is now time for MEN to STAND and be counted.


35 posted on 05/27/2010 10:26:45 PM PDT by TCH (DON'T BE AN "O-HOLE"! ... DEMAND YOUR STATE ENACT ITS SOVEREIGNTY !When a majority of the American)
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To: Gideon7; All

This is very simple.

WE DO NOT CO-OPERATE.

Every American MUST now take it upon themselves to DISREGARD EVERY LAW AN ACT PASSED BY THIS ADMINISTRATION.

Unjust, unconstitutional laws are null, void, and without force. Period.

There is no longer a moral imperative to obey this government. IT IS WHOLLY PERVERTED and MUST be OPPOSED by all means.

It is the DUTY of EVERY AMERICAN to OPPOSE ANY “LAW” affected by Barak Hussein Obama.

The entire Democrat Party should be considered a seditious cabal, and a criminal enterprise. The present government is unworthy of our trust, support or co-operation at any level.

It is now time for MEN to STAND and be counted.


36 posted on 05/27/2010 10:28:09 PM PDT by TCH (DON'T BE AN "O-HOLE"! ... DEMAND YOUR STATE ENACT ITS SOVEREIGNTY !When a majority of the American)
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To: TCH
It is now time for MEN to STAND and be counted.

Yeah, because we women aren't worth our salt in situations like this. ;-)

37 posted on 05/27/2010 10:29:22 PM PDT by Allegra (Pablo is very wily.)
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To: Allegra

OK...

It is now time for woMEN to STAND and be counter TOO!


38 posted on 05/27/2010 10:35:03 PM PDT by TCH (DON'T BE AN "O-HOLE"! ... DEMAND YOUR STATE ENACT ITS SOVEREIGNTY !When a majority of the American)
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To: TennMountains

Bookmark


39 posted on 05/27/2010 10:50:07 PM PDT by dragnet2
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To: MWestMom
Now that sounds like what’s living in my basement right now! And God knows I love her.....

Trust me, they grow up, move out, and flower into productive human beings who, despite what they say to you when you catch them coming in and violating curfew, really appreciate the wisdom you impart.

Just make sure you kill any similarly-aged males in the neighborhood.

Shallow grave.

No service.

Mum's the word.


Frowning takes 68 muscles.
Smiling takes 6.
Pulling this trigger takes 2.
I'm lazy.

40 posted on 05/27/2010 11:01:20 PM PDT by The Comedian (Evil can only succeed if good men don't point at it and laugh.)
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To: The Comedian

Shallow grave. My tomatoe plants flourish. Mum’s the word. ;-).


41 posted on 05/27/2010 11:29:26 PM PDT by MWestMom (Tread carefully, truth lies here.)
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To: Gideon7
This provision was snuck into the ObamaCare law.

Have you heard about the new 1099-K form and the proposed ATM transaction reporting?

The health care law also provides for a new 1099-K form on which all credit card transactions will be reported to the IRS. Also, the finance reform bill, will require banks to report all ATM transactions. Both of these requirements, IMO, are efforts to gather details that can be used to squeeze small businesses and contractors.

42 posted on 05/28/2010 4:59:30 AM PDT by foxfield (Sarah Palin, America's "girl next door".)
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