Michael Newman’s latest ‘e-Wealth Daily’ article is titled “It Can Pay to Be Honest”. [‘e-Wealth Daily’ Article]


Michael Newman’s latest ‘e-Wealth Daily’ article:

It Can Pay to Be Honest

It can pay to be honest.

This may come as quite a surprise, but, for the past 140 years, the IRS has run an informant program. It pays — quite handsomely — for information about people who’ve been cheating on their taxes. Informants can receive from 15%-30% of the underpaid amount, up to a maximum of $10.0 million.

In order to participate in this program, you’re going to need to know the possible tax cheater fairly well. The IRS requires informants to complete a detailed claim that contains personal information like their social security number, address and birthday. When you fill out the form, however, your name is left anonymous. The IRS then investigates your claim, and you’re rewarded if your claims are true.

For the year 2008, the IRS has received information from over 470 informants about over 1,200 taxpayers. The best part is that the IRS says the program has been “successful,” which translates to: “informants are getting paid.”

Of course, it’s not worthwhile to simply rat out just anyone who you dislike. For your claim to be rewarded, the culprit must owe roughly $2.0 million in back taxes, interest and penalties.

However, if someone you know — or a business — has been cheating on their taxes, it could very well add up to this amount, depending on the length of time they’ve been scamming the system. Business associates, managers and owners could all be fair game. Just make sure you have the proof you need!

By proof, I mean actually knowing that fraud is being committed. Suspicious activity can sometimes be explained, so, unless you’re sure, do not go around accusing others.

Some of you may be saying to yourself that, no matter what, you’d never be a “rat.” That’s fair. No one wants to be known as an informant. Sometimes, however, it may be important to consider the circumstances.

Why should you be working your tail off, stressing about filing your taxes and losing out on your money when these people take advantage of you and the system? It’s simply not fair and you should be compensated if you know someone who is cheating.

For more information about this, visit the IRS’ web site at http://www.irs.gov or call the tip line at 1 (800) 829-0433.

e-Wealth Daily

About e-Wealth Daily

The e-Wealth Daily Bulletin brings you daily tips, advice and breaking news related to home businesses, small businesses and internet marketing. Our team of experts gives you the information you need to take your business pursuits to the most profitable level. Founded by Adrian Newman in 2003, the e-Wealth Daily Bulletin and www.ewealthdaily.com are a division of Lombardi Publishing with online newsletters reaching over 100,000 subscribers each month.

* IMNewsWatch would like to thank e-Wealth Daily for granting permission to reprint this article.

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