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GAO Report Encourages IRS Efforts Against Abusive Tax Schemes, But Paints Discouraging Picture Nevertheless  


Author:  L. Nicholas Deane.


Source: Volume 20, Number 01, Fall 2002 , pp.67-71(5)




Journal of Taxation of Investments

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Abstract: 

The GAO, in a report submitted to William J. Coyne (Dem.- Pa.), Ranking Minority Member of the Subcommittee on Oversight of the Ways and Means Committee, analyzed the types of activities the IRS considers to be organized tax evasion, the extent of these activities, how the IRS responds, and how and if it coordinates its actions with other federal agencies. The report, Internal Revenue Service: Efforts to Identify and Combat Abusive Tax Schemes Have Increased, but Challenges Remain (the Report),1 concludes that the IRS “appears to be realizing some increased success in convicting those involved in schemes, publicizing those results, and uncovering previously hidden major offshore compliance problems.” That part of the success relates to publicity is valid, but curious given the Service’s often submarine-like pursuit of tax evaders.

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