Tag Archives: IRS


Pot May Be Illegal, but the Feds Are Delighted to Tax It

U.S. companies large and small legally deduct the expenses of doing business from their gross profits before paying income tax, but purveyors of marijuana (in states where possession is legal and where prescription marijuana is dispensed) cannot deduct those expenses and thus wind up paying a much higher federal income tax than other businesses. As NPR reported in April, “Section 280E” of the tax code (enacted in 1982 to trap illegal drug traffickers into tax violations) has not been changed …

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There’s No Such Thing as ‘Free’ to the IRS

During the massive February Southern California manhunt for former Los Angeles cop Christopher Dorner, nervous-triggered LAPD officers riddled an SUV with bullets after mistakenly believing Dorner was inside. Instead there were two women, on their early-morning job as newspaper carriers, and LAPD Chief Charlie Beck famously promised them a new truck and arranged with a local dealership for a 2013 Ford F-150 ($32,560). However, the deal fell through in March when the women discovered that Beck’s “free” truck was hardly …

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Posted 2 years ago in Taxation by Aaron Kase  
Don’t Get Screwed by Your Spouse on Tax Day

Tax day is Apr. 15, as many consumers making last-minute trips to the post office are already painfully aware. What some people might not realize is that tax day may be the day that they get screwed over financially by their spouse. The key point to take home: If your husband or wife owes money to the IRS, that means you owe money too. Most married couples file joint returns, making them a unit in terms of tax payments in …

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Posted 2 years ago in Taxation by Michele Bowman  
‘Accidental’ Americans Still Owe Income Tax

Most people who are born in the United States or who purposely become citizens here know they are U.S. citizens. But many people who’ve spent their lives abroad and are citizens of other countries may be shocked to learn that they are considered U.S. citizens, and thus owe U.S. taxes.   Lifetime Abroad, Surprise at Home The United States is one of only a handful of countries that requires its citizens to pay taxes on income, gains and assets no …

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Posted 2 years ago in Bankruptcy Taxation by Michele Bowman  
Dionne Warwick Seeks Bankruptcy to Avoid Old Tax Debt

Legendary songstress Dionne Warwick on Mar. 21 filed for bankruptcy in federal court in New Jersey, where she lives, hoping to end a decades-old battle with the Internal Revenue Service over her tax debt.   No Other Choice Warwick is reportedly blaming a former manager for “negligent and gross financial mismanagement” resulting in the tax mix-up that left her $10.2 million in the hole with the IRS and the State of California. Over the years, the singer was paying off …

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