Drudge Retort: Red Meat for Yellow Dogs

The Internal Revenue Service will audit 6,000 U.S. companies to determine whether they pay all their required employment taxes to fund Social Security and Medicare benefits.

The IRS said the audits will provide data for its first statistical analysis since 1984 of how often companies misclassify workers to duck tax obligations, fail to pay taxes on fringe benefits such as personal use of company cars, and improperly pay taxes for company executives. The audits will begin in February, and the companies will be randomly chosen.

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fail to pay taxes on fringe benefits such as personal use of company cars

This is a biggie that I see quite often, and the classification of employees as independent contractors. The hammer is about to drop on a lot of small-fries.

It seems to me the Obama is recruiting from to private sector to fill vacancies in the treasury department.

Charly Rangel still has his job.

Joe Wilson punished.

Everything is going great.

Charlie Rangel isn't in the Treasury Department and he can't be fired by Obama. Did you ever take a civics class?

...the classification of employees as independent contractors...
#1 | Posted by taxman

I was always under the impression that, while a bit shiesty, this was perfectly legal - is that not correct?

I try to play it straight, and pay a CPA to help me do so.. what worries me about IRS audits is that number one. . the audit itself costs us small businesses, many of whom are struggling in the present economic status..

Number two.. because no-one, not CPA's, not lawyers, not judges, not IRS agents, not the secy of the Treasury, not the president, and not the congress, actually understands the monstrosity that has become the US tax code.. and because of this.. a well meaning small business person, taking the advice of his CPA, can end up owing additional taxes and penalties because the agent says so.. you can appeal, but all of that costs money.

the FAIR TAX.. pass it please..

(and Taxman.. I pay taxes on the use of my car, and I do not call my employees contractors.. )

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