tag:blogger.com,1999:blog-1519969502186924526.post6812978864060064232..comments2023-10-24T08:00:53.865-05:00Comments on Federal Tax Crimes: BASR Briefs On Issue of Unlimited Statute of Limitations for NonTaxpayer Fraud (8/26/14)Jack Townsendhttp://www.blogger.com/profile/14469823736335455874noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-1519969502186924526.post-79948440534705685072014-08-26T18:15:00.217-05:002014-08-26T18:15:00.217-05:00The answer to your question is YES. The statute i...The answer to your question is YES. The statute is open forever if there is fraud on the return. The open issue is whether it must be the taxpayer's fraud or whether anyone's fraudulent claims on the return will do. So, if the Government prevails in BASR, a lot of investors in the bullshit tax shelters will be at risk for very large tax bills -- some in the hundreds of millions.<br /><br />Now, it is true that, for administrative reasons, the IRS will not often pursue such claiims. But with respect to the bullshit tax shelters, the Government knows who they are and just thought they could not get to them. The Government can get to them, assuming the Allen interpretation of 6501(c)(1) prevails.<br /><br />At least theoretically, this could apply in all fraud contexts. But the taxpayer's own fraud always kept the statute open. (I would suggest that if the Government pressed hard enough, it could prove fraud for the taxpayers involved.)<br /><br />Jack TownsendJack Townsendhttp://www.tjtaxlaw.com/noreply@blogger.comtag:blogger.com,1999:blog-1519969502186924526.post-73973357385032288072014-08-26T14:49:16.376-05:002014-08-26T14:49:16.376-05:00So, is there an SOL on the assertion of fraud? I ...So, is there an SOL on the assertion of fraud? I know there is no SOL on the audit if fraud is present but if the IRS knows/believes there is fraud or had the chance to establish it, can they wait as long as they like before bringing the action?gottaloveUStax1noreply@blogger.comtag:blogger.com,1999:blog-1519969502186924526.post-75767328351351033772014-08-26T11:41:16.058-05:002014-08-26T11:41:16.058-05:00Is there no chance the IRS could assert fraud on b...Is there no chance the IRS could assert fraud on behalf of the taxpayers? Is the reliance on counsel defence that strong?gottaloveUStax1noreply@blogger.com