When it is time to do your taxes for your business in Massachusetts, take your issues to a Boston tax lawyer. He will know of the forms to use, and the changes in the laws as they become relevant. He will keep you out of trouble with the IRS.
There are certain shams that are occurring frequently in Massachusetts, and therefore business owners need to know that they are filling out the proper forms in the correct way so that they do not become victims of the IRS. Your Boston attorney can protect you from this.
Some of these activities that go on involve doing business to benefit from taxes, instead of earning a profit. This is a red flag for the Internal Revenue Service, and a business owner could face criminal charges. At the least, he will face civil penalties. One sample of this type of activity is claiming a false loss. These false claims are made for the tax motive is they are against the law.
While some businesses just need to adjust their taxes accordingly, and this is the way the IRS may handle some scams, other businesses are criminally charged.
There is a form used by the IRS called the “substance over form.” It is used to analyze transactions that are self-serving between, for example shareholders and the corporation. One example of this kind of sham is when the company sells some of its assets to shareholders. If a shareholder does not pay, it is written off as a loss. This is a criminal case.
Why not consult with your local Boston tax lawyer in these matters to protect your corporation? You will be happy you took that step.
When sorting through complex tax issues, your business will benefit by talking to an experienced MA business tax attorney. A MA business tax lawyer can help lead down a successful path.
