18 May, 2015

Tax Excuses 843 - 870

844.  I was a whistleblower against the  University of Medicine and Dentistry of New Jersey, which committed Medicaid and Medicare fraud, and which fired my brother for helping me to expose the fraud.  I am continually subjected to fraud and corruption, extortion, and bribery, and retaliation for my whistleblowing.  I should be allowed to deduct my expenses incurred, and my loss of goodwill, for all of this, and, given the recent spate of fraud and corruption revelations nationally and world wide, it would seem appropriate to finally recognize the business environment in which I operate [Kanofsky v. Commissioner, T.C. Memo. 2014-153].

845.  I received the money after I signed a vow of poverty, so I shouldn't be taxed on it [Cortes v. Commissioner, T.C. Memo. 2014-181.].

846.  "We are citizens of the United States of America.  We have paid taxes to what we thought was the United States of America. Apparently through the years, socialism has taken control of this country without us being aware of it.  In 2008, George W. Bush asked the American people to accept socialism and Barak [sic] Obama has plowed straight ahead with tons more. We resoundingly reject it which is shown in our not having submitted a tax form for 2008 or 2009 and will not be doing so for 2010. We support the United States of America, the republic, the Christian nation; we do not support this socialist government that has hijacked Washington DC." [Salzer v. Commissioner, T.C. Memo. 2014-188.].

847.  "In 2006 the Taxpayer had been working for BUSINESS-1. The Division was not able to find any evidence of withholding for the Taxpayer by BUSINESS-1. For the year 2007 the Taxpayer had worked for BUSINESS-1, had received unemployment and worked for a new company, BUSINESS-2. For 2008 the Taxpayer had worked for BUSINESS-2. The Division had found withholding for the Taxpayer recorded by BUSINESS-2 and had given the Taxpayer credit for that withholding for 2007 and 2008. The Taxpayer argued at the hearing that if BUSINESS-1 was not responsible about doing their due diligence then it was unfair that he was now being held responsible for that company's actions and being charged penalties and interest." (He didn't file his tax returns.) [Taxpayer v. Auditing Division, Utah State Tax Commission, Appeal No. 13-670 (5 May 2014).].

848.  I am a sovereign, living soul who is not a citizen of the United States or the State of Arkansas and not a party to the United States Constitution [Muncy v. Commissioner, T.C. Memo. 2014-251.].

849.  "My historical method of dealing with my Federal tax situation was to ignore it." [United States v. Chambers, 2014 U.S. Dist. LEXIS 70511, 113 A.F.T.R.2d (RIA) 2195 (M.D. Fla. 2014).].

850.  The founder of the company, who was incarcerated at the time, sent a former prison associate of his who had served time for murder to tell me to not pay the company's withholding taxes (the plaintiff himself had served time for kidnapping and attempted extortion [Miniken v. United States, 2014 U.S. Dist. LEXIS 97430, 114 A.F.T.R.2d (RIA) 5211 (W.D. Wash. 2014).].

851.  I was disorganized on account of the fire at our house that destroyed our records, killed my husband, and gave me bronchitis, and our granddaughter had health and behavioral problems (she timely filed another tax return that year, operated her fast food franchises, managed her rental properties, and competed in horse shows) [Stuller v. Commissioner, 2014 U.S. Dist. LEXIS 100617, 2014-2 U.S. Tax Cas. (CCH) ¶ 50,379, 114 A.F.T.R.2d (RIA) 5450 (C.D. Ill. 2014).].

{852 - 861.  Her Majesty's Revenue and Customs published its 2015 List of unsuccessful excuses, Press release, HM Revenue & Customs, Press release, "Taxman reveals top 10 terrible tax excuses" (5 January 2015)  .}.

852.   My pet dog ate my tax return…and all the reminders.
853.  I was up a mountain in Wales, and couldn’t find a postbox or get an internet signal.
854.  I fell in with the wrong crowd.
855.  I’ve been travelling the world, trying to escape from a foreign intelligence agency.
856.  Barack Obama is in charge of my finances.
857.  I’ve been busy looking after a flock of escaped parrots and some fox cubs.
858.  A work colleague borrowed my tax return, to photocopy it, and didn’t give it back.
859.  I live in a camper van in a supermarket car park.
860.  My girlfriend’s pregnant.
861.  I was in Australia.

862. "Mr. Sodipo asserts that "all the documents needed were seized by the [G]overnment and * * * there was a restraining order on the accountant not to talk to [me]."   [Sodipo v. Commissioner, T.C. Memo. 2015-3.].

863.  We filed our return late because our tax attorney and our accountant couldn't agree on how we should report our property exchange [Matter of Yamin, California Board of Equalization, Case No. 603221 (23 September 2014).].

864.  The frozen ice made it impossible for me to access my financial records which were necessary for me to do my taxes [Palmer v. Commissioner, T.C. Memo. 2015-30.].

865.  My husband has dementia, there are VA medical bills to be paid, and the Department of Revenue should look to the seller from whom I ordered the untaxed cigarettes for payment of the tax  [Arizona Office of Administrative Hearings, Docket No. 14C-201400345L-REV (2 March 2015).].

866.  The economic recession made it difficult for us to lease spaces in our shopping center, and reduced our income so we couldn't make timely tax payments [Ashlan Park Center, LLC v. Crow, 233 Cal. App. 4th 1274, 183 Cal. Rptr. 3d 172 (Cal.App. 2015).].

867.  I didn't file my tax returns because the government has been garnishing my wages on account of my unpaid student loans  [Matter of Anonymous, Defense Office of Hearings & Appeals,  ADP Case No. 14-02825 (23 December 2014).].

868.  I was involved in a work-related accident, which kept me out of work for a year. Afterwards I was attacked by a youth gang, seriously injured, and out of work for another six months [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-12335 (23 May 2014).].

869.  "Computing and filing tax returns is like a pregnancy: it’s not a baby until every detail is fully fleshed out. All those required tax details had been buried in piles of paper – and it took many, many months to dig them out and sort them out." [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 14-02226 (6 April 2015).].

870.  I believed that filing my tax returns was less urgent because my husband was not working [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 14-03641 (20 February 2015).].

16 June, 2014

Tax Excuses 812 to 842

812.  I was employed by a startup company that failed to properly handle payroll and taxes (he didn't file his 2008 tax return until 2012, and failed to file his 2009 tax return) [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-08953 (29 May 2013).].

813.  My computer crashed and it would have been too cumbersome to look through all of the boxes of paper records to find the information to file my tax returns  [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-13242 (14 June 2013).].

814.  We didn't file our tax returns because we had a lot of real estate and need to verify the revenues and expenses, and we didn't want to pay thousands of dollars the tax accountants and tax attorneys would charge us to prepare our tax returns [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-13712 (19 September 2013).].

815.  Prior to 1996, my spouse always filed the income tax returns. In 1996, she was seriously injured in a car accident and was disabled and on medication which left her foggy  [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-14439 (19 September 2013).].

816.  I couldn't pay my taxes to the IRS because I was the victim of extortion and the extortionist took all of my money [In re Chiamu May Lin, 499 B.R. 430 (S.D.N.Y. 2013).].

817.  I mistakenly paid my state income tax to California instead of to Iowa [Shirley Larsen v. Department of Revenue, Iowa Department of Inspections & Appeals, Division of Administrative Hearings, DIA Docket No. 13DORFC002,  Rev. Docket No. 2012-200-2-0364 (19 June 2013).].

818.  The requirement to pay the tax in full before suing for a refund in the U.S. District Court is a booby-trapped forum, with which I have no intention of complying (he could have contested the IRS assessment in the Tax Court without paying the tax in full if he had filed the suit within 90 days of the IRS assessment) [Fletcher v. United States, 452 Fed. Appx. 547, 553 (5th Cir. 2011), cert. denied ___ U.S. ___, 132 S. Ct. 1873, 182 L. Ed. 2d 646 (2012).].

819.   I falsified expenses and charitable contributions on my tax returns so that I would not have to owe so much on my taxes [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 12-03576 (15 November 2013).].

820.  "Applicant deliberately failed to file federal income tax returns for tax years 2006 through at least 2011. During his August 2011 security interview, he said that he did not file state or federal returns during that period because he felt those governments had taken enough of his income from his biweekly earnings." [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-14262 (27 November 2013).].

821.  "Applicant failed to file his federal income tax return for 2003. In his most recent
SCA, he listed his reason for not filing his return as 'lazy.'"  [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 13-00081 (27 November 2013).].

822.  My tax returns didn't get filed because my husband and I had mixed communications as to who was supposed to file them [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case 11-14461 (3 December 2013).].

823.  My school tax should be reduced 50% because I don't have any children enrolled in the public schools [James v. Multnomah County Assessor, 2014 Ore. Tax LEXIS 37 (No. TC-MD 130561C, Oregon Tax Ct., 2014).].

824.  "When I bought the business, I knew nothing as far as keeping the data for reporting and submitting the information in order to do the sales tax returns.  The former owner showed me how he was doing it. So I started and continued to do it the same way not knowing it was incorrect." [Indiana Department of State Revenue, Letter of Findings No. 04-20130514P, DIN: 20140226-IR-045140047NRA (26 February 2014).].

825.  The luxury tax statutes do not apply to the consumer, but are the responsibility of the manufacturers and distributors (she purchased unstamped cigarette packages)   [Arizona Office of Administrative Hearings, No. 13C-201300214L-REV (19 February 2014).].

826.  We were used to getting reminders in the mail, and were not yet used to the online tax return filing process. [Indiana Department of State Revenue, Letter of Findings No. 03-20130499P, DIN: 20140226-IR-045140038NRA (26 February 2014).].

827.  We were unaware that sales or use taxes were due on items used in its fire suppression systems (they had already been audited in previous years on the same issue) [Indiana Department of State Revenue, Letter of Findings No. 04-20130307P, DIN: 20140226-IR-045140041NRA (26 February 2014).].

828.   "The Taxpayer's owner testified at the January 16 hearing that she runs her restaurant primarily to help needy people in the community. She explained that she has an old cash register, but that it didn't work during the audit period. She claimed that the business lost money, but that her husband and children gave her cash to pay the bills so that she could keep the restaurant open to serve the community." [Ruby's LLC v. State of Alabama, Alabama Dept. of Revenue, Admin. Law Div., Dkt. No. S. 13-1121 (26 February 2014).].

829.   I am exempt from taxation on account of my diplomatic status as an agent of God's government here on earth [Matter of Gregory, California State Board of Equalization, No. 625150 (17 July 2013).].

830.  "[P]etitioner asserted that he had worked as a news reporter/anchor in Washington, D.C., for 40 years; that he had uncovered and developed a report regarding the planned scope of the 9/11 terrorist attacks; that he had been informed that publishing the story would endanger national security; that he had agreed to withhold the report; that in return for his forbearance an official in the Bush administration had granted him 'tax immunity'"  [Buchanan v. Commissioner, Docket No. 14777-13 L, U.S. Tax Court (14 March 2014).].

831.  I did not believe that failing to file timely returns would be a big deal because I always received a refund  [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 12-01266 (23 January 2014).

832.  "Applicant gave two basic reasons for his failure to timely file ten years of tax returns. First, in his Answer, Applicant appears to say that since his overseas income was subject to the foreign earned income tax exclusion he did not have to file any tax returns, since he did not think he had any income. Second, in his testimony, Applicant stated, 'Procrastination, Your Honor. Plain and simple. I have a problem on occasion with procrastination and in this particular case I just let it get worse and worse and the obvious outcome are these proceedings and my life savings having been taken by the IRS as fair payment and their estimate for the taxes that I owe them.'"  [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 12-00608 (31 January 2014)., aff'd 11 April 2014].

833.  I shouldn't have to pay taxes on the money I got from defrauding insurance companies by staging fake traffic accidents because I entered a nolo contendere plea and didn't plead guilty to the charges [Matter of Munir Sharif, California State Board of Equalization, No. 516143 (29 October 2013).].

834.  We didn't file our tax returns because we were concerned about the danger of identity theft  [Matter of Anonymous, Dkt. No. 25446, Idaho State Tax Comm. (9 December 2013).].

835.  I lost my job soon after purchasing a condominium; I found a new job that required so much travel that I usually just had time to do my laundry and turn around a suitcase; my father became ill and passed away; my cousin was murdered in a hate crime incident in Connecticut when I was in New York, and I feard for my safety; my stock loss from Worldcom disappeared from my brokerage statements; I fell down the stairs and suffered head injury, a fractured wrist, short-term memory loss, and vertigo; my small dog was attacked by another dog and killed; I had a severe ear infection; and I now have a new job which requires intensive travel to rebuild my relationships from clients [Matter of Laura Widulski, California State Board of Equalization, No. 608438 (17 December 2013).].

836.  I filed my tax return late because my financial records were burned in the fireplace by a former girlfriend, and I was also preoccupied with IRS audits of prior years' tax returns [Roberts v. Commissioner, T.C. Memo. 2014-74.].

837.  "Applicant offered no reason for his failure to meet his income tax obligations
other than what he described as his own 'stupidity.'"  [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 10-05923 (13 March 2014).

838.  We were audited by the IRS and received a no-changes letter (they still did not file their corresponding Indiana state income tax return, upon which tax was outstanding) [Indiana Dept. of State Revenue, Letter of Findings No. 01-20130599, Indiana Register, DIN: 20140430-IR-045140114NRA (30 April 2014).].

839.  My delinquent tax payment plan with the IRS should take into account the college tuition I pay for my children.  Each of my five children has a neurological disability which requires them to attend Brigham Young University [Thompson v. Commissioner, 140 T.C. 173 (2013).].

840.  By coming after me for the sales taxes instead of coming after my business, the Department of Revenue is violating my equal protection rights under the Constitution (he was a responsible party for remitting the sales taxes collected by his business to the Department of Revenue) [Rashaed v. Wisconsin Department of Revenue, 352 Wis. 2d 527, 842 N.W.2d 487 (Wisc.App. 2013).].

841.  The IRS audit of my business is improper because tax returns were selected for audit by a field office based solely on our proximity to that office. [Masciantonio v. United States, 528 Fed. Appx. 120 (3d Cir. 2013), motion to proceed denied 2014 U.S. LEXIS 3402 (2014).].

842.   I was just an assistant chef.  I was not really a corporation officer responsible for the taxes, but I was hired by the owner on the condition that I sign documents on behalf of the corporation as its president [Matter of Ji Chao Zheng & Pacific World Buffet, Inc., New York State Division of Tax Appeals Nos. DTA 824509 & 824597 (5 June 2014).].

06 November, 2013

Tax Excuses 806 to 811

806.  "Petitioner also argues that the lack of underlying Code of Federal Regulations to support the statutes which he has violated nullifies the statute.  Petitioner has confused the order of authority." [Aldrich v. Commissioner, T.C. Memo. 2013-201].

807.  GM and GMAC precluded me from paying the automobile dealership's sales and use taxes by seizing the funds of the corporation [Matter of Patrick Kieran, New York State Division of Tax Appeals No. DTA 823608  (12 September 2013).].

808.  The money I embezzled from my employer was declared on my own corporation's franchise tax return, so I shouldn't be liable for personal income taxes on it [Matter of Maria Arnjas, New York State Division of Tax Appeals No. DTA 824505  (12 September 2013).].

809.  I was unable to file my tax returns because I was financially disabled due to bipolar disorder and Asperger's Disorder [Suvak v. United States, 2013 U.S. Dist. LEXIS 71947, 2013-1 U.S T.C.. (CCH) ¶ 50,342, 111 A.F.T.R.2d (RIA) 2060 (S.D.N.Y. 2013), dismissal upheld on reconsideration, 2013 U.S. Dist. LEXIS 80773; 2013-1 U.ST.C. (CCH) ¶ 50,370; 111 A.F.T.R.2d (RIA) 2282 (S.D.N.Y. 2013). ].

810.  The income tax violates the Establishment clause because it represents a tenant of socialism, which is a religion that the United States has established [United States v. Ogilvie, 2013 U.S. Dist. LEXIS 57195 (D. Nev. 2013).].

811.  I shouldn't have to file a tax return and pay the tax because I don't remember receiving the income [Craighead v. Commissioner, T.C. Memo. 2013-246.].

23 June, 2013

Tax Excuses 786 through 805

786.  I negotiated a payment plan for the delinquent sales taxes, but I left the company before the payments due under the plan could be completed (she was personally liable for payment) [Dept. of Revenue v. Mary Doe, Illinois Dept. of Revenue Office of Admin. Hearings, Dkt. No. ST 12-16 (14 November 2012).].

787.  We didn't pay our Bingo Taxes to the State because the IRS levied our bank account and froze the funds (the taxes were 2 years past due when the IRS levied the bank account) [Matter of LULAC Council 616, Docket No. 362-96-0060.B, Texas State Office of Administrative Hearings (August 2004).].

788:   "Petitioner contends that he should not be liable for the additions to tax because he had an 'unavoidable absence' because of his incarceration." [Cherry v. Commissioner, T.C. Memo. 2013-3].

789.  I didn't remit the sales tax monies collected by my business because there were problems with the sales tax returns and I needed the sales tax monies for other purposes (he was prosecuted for and plead guilty to stealing from the Department of Taxation and Finance)  [Matter of  Steven Dvorak, et al., New York State Division of Tax Appeals No. DTA 823879, 823880 & 823881 (3 January 2013).].

790.    I should be able to claim an exemption for this little girl if she is a member of my tribe; the requirement that she be my qualifying child violates my Constitutional rights [Begay v. Commissioner, T.C. Memo. 2013-17.].

791.  "Neither our clients were informed that the auditors were having internal disputes in their office followed by the consequence of de-registration in the Hong Kong Institute of the Certified Public Accountants." [Hong Kong Inland Revenue Board of Review Case No. D10/12 (28 May 2012).].

792.  I shouldn't have to pay the New Jersey 10% prison commissary tax because I was convicted of my crime in New Hampshire, and New Hampshire sent me to a New Jersey prison [Hersey v. New Jersey Department of Corrections, 2013 STT 8-28, 2013 N.J. Super. Unpub. LEXIS 30 (N.J. Super, 2013).].

793.  I am a Native American of Choctaw and Cherokee lineage, and my employer is depriving me of my right to choose my own tax destiny by forcibly withholding taxes from my paycheck without my authorization [Kheru Ra El Imani Bey v. United Parcel Service Inc., 2012 U.S. Dist. LEXIS 135098, 2012-2 U.S. Tax Cas. (CCH) 50,572; 110 A.F.T.R.2d (RIA) 6039 (E.D.N.Y., 2012).].

794.  My stepson, who was the CFO, should have paid the delinquent payroll taxes but I didn't feel that it was my job to check to see that he was doing so (he was Vice-President of the company) [United States v. Robert Nipper, 2012 U.S. Dist. LEXIS 128408, 110 A.F.T.R.2d (RIA) 5510 (D. N.Mex., 2012).].

795.  "Applicant stated that he failed to file federal and state income tax returns because, as a real estate agent, his income was affected by the downturn in the housing market, and he did not have sufficient money to pay his taxes. He believed that if lacked the money to pay his federal and state income taxes, he was not required to file." [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-05424 (11 January 2013).].

796.  "Applicant testified that his tax delinquency was caused by his ex-wife claiming their children on her tax return every year instead of every other year, as required by their agreement." [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-07447  (28 January 2013), aff'd, Appeal Board (11 April 2013) .].

797.  The IRS can't assess taxes or penalties against me because I never filed my tax return [Garber v. Ruwe, 2013 U.S. App. LEXIS 3210, 2013-1 U.S. Tax Cas. (CCH) ¶ 50,188, 111 A.F.T.R.2d (RIA) 849 (7th Cir. 2013).].

798.  My sentence for tax fraud should be reduced because I had no way of foreseeing that the conspiracy in which I was involved would cheat the IRS out of as much money as it did [United States v. Brown, 2013 U.S. App. LEXIS 3386, 2013-1 U.S. Tax Cas. (CCH) ¶50,194, 111 A.F.T.R.2d (RIA) 859 (11th Cir. 2013).].

799.  "Applicant testified that he did not pay the taxes due on the cigarettes because
the state 'want[s] [him] to self-incriminate, they want [him] to supply them with the
information about it.' He admitted that he bought the cigarettes without paying the
taxes, but he 'want[s] to see where they have the proof that [he] did do that.'"  [Matter of Anonymous, Defense Office of Hearings & Appeals, ADP Case No. 11-09036 (19 February 2013).].

800.  "Applicant stated he has been unable to pay his tax lien because his highest priority is paying his rent and then child support. Applicant was aware that he was required to file and pay his federal income taxes, but he thought he could neglect it, and it would not affect him." [Matter of Anonymous, Defense Office of Hearings & Appeals, ADP Case No. 12-04343  (5 March 2013).].

801.  "From 2005 until 2010, Applicant admits that he did not have the focus or energy
to deal with the federal and state tax issues. He realizes that he also procrastinated."  [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-09158 (15 March 2013).].

802.  "Applicant’s wife had always taken care of the couple’s finances, including filing their tax returns. After they separated, she stopped filing their returns jointly. Applicant claims he did not become aware of this situation until 2005, when he returned from Iraq." [Matter of Anonymous, Defense Office of Hearings & Appeals, ISCR Case No. 11-05355  (29 March 2013).].

803.  The Government of Guam should not be allowed to withhold taxes from my pay because I was not able to vote for the officials of the Guam government, the Organic Act of Guam is unconstitutional, and I may someday want to return to Guam to practice law (the taxes withheld had already been refunded with interest) [O'Brien v. Calvo, 2013 U.S. Dist. LEXIS 43546, 2013-1 U.S. Tax Cas. (CCH) 50,251; 111 A.F.T.R.2d (RIA) 1707 (E.D.N.Y., March 2013).].

804.  We filed the Estate's tax return late because we had already paid enough of the tax, the real estate values were uncertain, and filing a single late return instead of a timely return with an amendment was better because would simplify matters if we were to be audited
[Estate of Young v. United States, 2012 U.S. Dist. LEXIS 178232, 2013-1 U.S. Tax Cas. (CCH) ¶ 50,104, 110 A.F.T.R.2d (RIA) 7065 (D. Mass. 17 December 2012).].

805.  We filed the Estate Tax Return late because we were waiting for the decedent's wife to get her citizenship so that we could claim the marital deduction (but the return was filed 9 months after the belated naturalization date) [Estate of Liftin v. United States, 110 Fed. Cl. 119 (Fed.Cl. 2013).].