Where to Report Tax Evasion and Payroll Fraud

If you are aware of organizations evading paying taxes…

…here is a current list of federal and state offices, as well as elected officials, who want to hear from you.

More will be added:

More links will be added shortly along with automatic email forwarding to report Tax Evasion.

Image:  Flickr/ElectonicFoundation

The IRS Whistleblower Office

From the IRS Website

Source:  www.irs.gov

“The IRS Whistleblower Office pays money to people who blow the whistle on persons who fail to pay the tax that they owe. If the IRS uses information provided by the whistleblower, it can award the whistleblower up to 30 percent of the additional tax, penalty and other amounts it collects.

Who can get an award?

The IRS may pay awards to people who provide specific and credible information to the IRS if the information results in the collection of taxes,penalties, interest or other amounts from the noncompliant taxpayer.

The IRS is looking for solid information, not an “educated guess” or unsupported speculation.

We are also looking for a significant Federal tax issue- this is not a program for resolving personal problems or disputes about a business relationship”

For additional information visit the following page on the Internal Revenue Services website:

http://www.irs.gov/compliance/article/0,,id=180171,00.html 

Governor vetoes second bill on classification of workers

Nevada Governor and Senator Tussle over Worker Misclassification

CARSON CITY – Gov. Brian Sandoval has vetoed a second bill aimed at stopping employers from misclassifying workers to avoid paying more benefits.

Sandoval said the current system is adequate to ensure that businesses don’t classify their workers as independent contractors to pay minimum wage and avoid contributing to unemployment and workers’ compensation insurance.

But Sen. Mike Schneider, D-Las Vegas, says Sandoval “doesn’t know what’s going on in the big city.” He said “the governor’s philosophy is the free market will take care of it, but the free market is cheating.”

Schneider said neither the governor nor his staff contacted him as chairman of the Senate Committee on Commerce, Labor and Energy, which processed the bill and held hours of hearings.

Read the rest of this Las Vegas Sun article by Cy Ryan

Independent Contractor or Employee?

Language Line ServicesLanguage Line Services of Monterey, California, provides interpretation and translation services in 170 languages to emergency services operators, online retailers, banks and other businesses across the country.  One corporate decision the $300 million company made, however, involves the difference between two common English business terms – “employee” and “independent contractor.”

More than 97 percent of the company’s nearly 5,000 interpreters – people who’ve mastered languages from Afrikaans to Yiddish – are employees eligible for health care and other benefits. The company also pays its share of federal and state employment taxes and withholds taxes from employee paychecks.

Less than 3 percent of Language Line’s interpreters are independent contractors who get called in for special project work on rare languages such as Woloff, Visayan or Fukienese.

Not all translation companies follow suit.

In fact, Language Line attorney Steven Marc Weinberg says many of the company’s competitors classify all of their interpreters as independent contractors. As contractors, interpreters handle their own taxes and aren’t eligible for employee benefits. Weinberg argues that translation companies using such a set up are able to unfairly undercut prices charged by firms like Language Line. “Some businesses that classify workers as independent contractors end up increasing their bottom line unfairly,” says Weinberg. “It’s tough enough in this economy without so many folks being denied the support they’re rightly owed.”

Read the rest of this American Express “Inside Edge” story by Elizabeth Wasserman here >>

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