James Shaw
New Member
- Jurisdiction
- New Jersey
I want to report tax fraud. The situation is described as below.
1. The individual / sole proprietor is a consulting company. In her 2017 tax return, she deducted $250,000 as consulting fees and made $80,500 "non employee" compensation. Actually, this quarter million dollar deduction was a loan.
2. In her tax return of 2015, 2016, she has never reported this $250,000 income. The source of this $250,000 is very suspicious. Based on her employment history and incomes, she can't make this amount of money.
Where to report this suspicious transaction? As I know IRS is not serious about Information Referral (Form 3949-A). What's the alternative way to report this potential fraud? Can I make an appointment with IRA and the state taxation agency, and discuss this suspicious tax return(s)?
Thanks
1. The individual / sole proprietor is a consulting company. In her 2017 tax return, she deducted $250,000 as consulting fees and made $80,500 "non employee" compensation. Actually, this quarter million dollar deduction was a loan.
2. In her tax return of 2015, 2016, she has never reported this $250,000 income. The source of this $250,000 is very suspicious. Based on her employment history and incomes, she can't make this amount of money.
Where to report this suspicious transaction? As I know IRS is not serious about Information Referral (Form 3949-A). What's the alternative way to report this potential fraud? Can I make an appointment with IRA and the state taxation agency, and discuss this suspicious tax return(s)?
Thanks