ARTICLES,captive Insurance problems

ARTICLES,captive Insurance problems

1 comment:

  1. Complaint / review / scam report
    Sea Nine Veba Benista
    Sea Nine Veba Benistar - Sea nine veba benistar IRS audits lawsuits

    Complaint / review text:
    Big Trouble Ahead For Many 419 Welfare Benefit Plan and 412i Retirement Plan Participants

    Aug 25,2010

    By Lance Wallach

    Business owners and professionals who have adopted 419 welfare benefit plan arrangements are in serious trouble. The IRS has attacked these arrangements as "listed transactions." Business owners who engage in a "listed transaction" must report such transactions on IRS Form 8886 every year that they are participating in the transaction, and you are participating even in years when you do not make any contribution.internal Revenue Code 6707A imposes severe penalties ($200,000 annually for a business and $100,000 per year for an individual) for failure to file Form 8886 with respect to a listed transaction. Tax Court, according to both the IRS Appeals Office and its own decisions, does not have jurisdiction to abate or lower any penalties imposed by the IRS. Complaints caused Congress to impose a moratorium on collection of Section 6707A penalties. On June 1,2010, the moratorium ended, and the IRS immediately began sending out notices warning of possible imposition of 6707A penalties. When you get this notice it should be taken very seriously.

    Accountants were required to properly prepare and file Form 8918 (if they signed and/or prepare tax returns and got paid). The penalty for accountants for not properly filing the forms is $100,000, or $200,000 if they are incorporated.