IRS AUDITS MICRO-CAPTIVES
Shortly after the Internal Revenue Service (IRS) again warned taxpayers to “steer clear” of unscrupulous promoters selling abusive micro-captives as part of its annual “Dirty Dozen” listing and the IRS […]
IRS expands enforcement focus on abusive micro-captive insurance schemes
https://www.irs.gov/newsroom/irs-expands-enforcement-focus-on-abusive-micro-captive-insurance-schemes-taxpayers-urged-to-consult-independent-tax-advisor-before-oct-15-filing-deadline
IRS gathers information on taxpayers
Since micro-captive insurance companies were placed on the IRS’ “Dirty Dozen” list of tax scams in 2014 and identified as a transaction of interest in 2016, the IRS has continued […]
CIC Services LLC v. Internal Revenue Service
A lawsuit arguing that taxpayers are permitted to challenge a Treasury Department reporting requirement without first violating it defies a measure Congress took to protect tax collection, the U.S. Solicitor […]
Taxpayers engaged in Micro-Captive Insurance Arrangements
Taxpayers engaged in micro-captive insurance arrangements (and re-insurance arrangements) have started receiving correspondence directly from the Large Business and International (LB&I) division of the IRS. The correspondence asks taxpayers to […]
U.S. Department Of Justice Files Suit
The U.S. Department Of Justice Files Suit To Enforce An IRS Summons Against The Delaware Department Of Insurance For Artex Transactions On June 19, 2020, the Tax Division of the […]
Micro Captive and the IRS
The IRS correspondence received by taxpayers has caused confusion as to how to respond and whether a taxpayer’s micro-captive insurance arrangement will be respected. Taxpayers still engaged in a micro-captive […]
Captive Insurance Plans Will Be Audited
CIC Services has suggested that the Internal Revenue Service’s (IRS) “scare tactics” have left businesses unprepared amid the current COVID-19 pandemic. The captive management company explained that in light of […]
Update to Previous IRS Announcements
On April 22, 2020, in a statement made by email to a tax reporter, the IRS announced an extension of the due date to respond to its letters of inquiry […]
IRS extends deadline
for micro captive filing positions The Internal Revenue Service (IRS) has extended the deadline for the micro-captive insurance filing positions from 4 May to 4 June 2020 due to the […]
The IRS announced today
… that it plans to begin auditing several thousand more taxpayers that have operated section 831(b) or micro-captive insurance companies in the coming months. The IRS has been aggressively pursing […]
IRS to settle with some under audit for micro-captive insurance plans
Anyone who has received an IRS offer to settle a micro-captive insurance audit should immediately consult an experienced tax lawyer to understand the pros and cons of the offer before […]
“Group Captives” Insurance Scam
Just a few years ago, captive insurance companies were a hot news item in the arcane world of abusive tax shelters. Sleazy promoters were signing up small businesses in droves. […]
Captive Insurance audit deal from IRS
The IRS is offering a settlement to up to 200 taxpayers currently under audit for abusive micro-captive insurance transactions following three court wins backing the government’s position.
IRS is cracking down on micro-captives
According to the IRS, nearly 80% of taxpayers who received a time-limited settlement offer elected to accept the settlement terms.
Thank You
Mr. Wallach, Thank you very much for providing me with this information. I will review it next week and, I’m sure, be in touch. I very much appreciate your help” […]
Understanding The IRS Settlement Initiative Offer For Targeted 831(b) Captive Insurance Companies
Under scrutiny are so-called tax shelter captives, where the promoter dummies up insurance policies and risks so that the captive owners can artificially generate large deductions. It’s important to understand that […]
Micro-Captive Audits
Shortly after the Internal Revenue Service (IRS) again warned taxpayers to “steer clear” of unscrupulous promoters selling abusive micro-captives as part of its annual “Dirty Dozen” listing and the IRS […]
Help! My Captive Insurance Company is Under IRS Audit
From discussions with IRS Representatives, we’ve learned that the IRS is currently opening a large number of captive audits. If you are a taxpayer who has come under audit by […]
Captive Insurance and the IRS
The IRS continues to heavily scrutinize captive insurance arrangements. Certain captive insurance types have consistently appeared on the IRS Dirty Dozen list. Micro-captives in particular have been identified as potential […]