HOMEBUYER TAX CREDIT DEADLINE EXTENDED

Washington, D.C. - Eligible taxpayers who contracted to buy a home qualifying for the First-Time Homebuyer Credit before the end of April now have until Sept. 30, 2010, to close the deal, according to the Internal Revenue Service.

The Homebuyer Assistance and Improvement Act of 2010 extended the closing deadline from June 30 to September 30 for any eligible homebuyer who entered into a binding contract on or before April 30 to close on a home on or before June 30, 2010. The new law addresses concerns that many homebuyers might be unable to meet the original June 30 closing deadline.

The IRS reminded taxpayers that special filing and documentation requirements apply to anyone claiming the homebuyer credit. To avoid refund delays, those who entered into a purchase contract on or before April 30, but closed after that date, should attach to their return a copy of the pages from the signed contract showing all parties' names and signatures if required by local law, the property address, the purchase price, and the date of the contract.

IRS CRIMINAL INVESTIGATORS PURSUE L.A. TAX PREPARERS

Los Angeles - The Internal Revenue Service's Criminal Investigation Division has stepped up its prosecutions of tax preparers in Southern California.

"In the months following the 2009 tax filing season, legal actions have been taken against several dishonest tax preparers in our communities," said Leslie P. DeMarco, special agent-in-charge for IRS Criminal Investigation in Los Angeles.

In early July, former IRS revenue officer Anthony Pendleton, owner of Payless Tax Services in Inglewood, was sentenced to 41 months in prison after he was convicted of conspiracy to defraud the U.S., while Moreno Valley tax preparer Willena Stargell was found guilty of 12 charges relating to tax and financial fraud, and identity theft, and faces at least two years in prison. Meanwhile, Chris Dobison, a Rancho Cucamonga tax preparer, pleaded guilty to aiding and assisting in the preparation of false tax returns, and faces up to 12 years in prison; and Joseph Usunubu Aluya, a Placentia tax preparer, pleaded guilty to stealing over $320,000 in refunds from clients. He faces up to five years for tax evasion and up to 10 years for possession of stolen government money.

Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access