Friday, March 26, 2010
Every year the IRS posts its "Dirty Dozen" list of tax scams, both as a warning to taxpayers of scams to avoid and as a reminder of the investigations the IRS makes. This year's list includes an item called "Abuse of Charitable Organizations and Deductions" and it sounds like the IRS continues to see some familiar problems. The IRS says it sees "arrangements to improperly shield income or assets from taxation and attempts by donors to maintain control over donated assets or income from donated property." The IRS also continues to investigate valuation issues that arise with donations of non-cash assets. The IRS includes a reminder that the PPA imposed increased penalties for inaccurate appraisals.