Thursday, March 14, 2013

tax question-reporting someone for tax evasion/tax fraud?

Question by Ghosts_Of_Islamorada: tax question-reporting someone for tax evasion/tax fraud?
1-i know someone who is not reporting income from a business
that they operate “on the side” -
which is done outside their normal work,
so if i send a letter to the irs reporting that person for tax fraud/tax evasion,
how long will it take the irs to start investigating my claim of tax evasion/tax fraud?
2-what will the investigation procedure be? will they call the person i am reporting?
will they send them a letter? will they visit the person’s home?
3-i did not have the person’s social security number so i think
i could give some addresses and a phone number that might help
them track the person along with the person’s name and the alleged activity
that is associated with the tax fraud.
4-what happens to this person if the irs finds that this person
owes the irs money? how much trouble will they get into?
i’ve recieved answers that are really not answers, but just opinions like:
You “think” you know. What is your EVIDENCE?
If you don’t have evidence, the IRS will not act on your report.
Your hunches don’t qualify as evidence.
[my answer to that is the irs is asking for "tips" on alleged fraud, not evidence]
Do yourself a big favor. Forget about it.
This is not something the IRS really like to hear.
[my answer to that is the IRS does want to hear about it cause they have a special address in fresno that deals specifically with these types of complaints, if you don't believe me go to http://www.irs.gov and click on "contact"]
Get on with your life. What goes around comes around.
This is meant as a help.
[my answer is i do not want to get on with my life]
Why would you want to try and do this without concrete proof did this person provide services to you you were unsatisfied with.
Just curious cause sometimes it is better to just leave things alone.
Probably after his drive time and gas and supplies he or she doesnt make very much.
[still, this is not an answer, it's an opinion]
i am grateful that these folks took time out for my questions but i want real answers,not opinions

Best answer:

Answer by James
You are either on a personal vendetta against this person or you are trying to get some brownie points with the IRS.Which is it?

Know better? Leave your own answer in the comments!


tax question-reporting someone for tax evasion/tax fraud?

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