There is a basic problem for IRS Audit Victims in this Century.
The Internal Revenue Service tells a lot of lies. I mean Falsehoods, Prevarications, Fibs, a pack of lies, a barefaced lie, clearly lying through their teeth, to give a false impression, expedient actions to win, Half Truths cleverly constructed to prove a point that does not exist.
The Spokane Audit Department (SAD), the IRS Field Audit Group specializes in powerful and clever constructions of their versions of Field Audit results. SAD is led by Joan Page, General Manager who is smart, hard and kickass powerful as she supervises and instructs her Agents from her desk and her walker.
Don’t feel sorry for her. She makes up for her physical limitations by her determined focus on terrorizing guilty or innocent taxpayers. She is an equal opportunity Sadist with a job that has no limits, no supervision except for encouragement from her Supervisor, Diane Wittman in Seattle.
Joan’s crew includes Heather Blair, Revenue Agent, (R A) Dianne Beers, R A, Aleksandr Cherkashin, R A, and others in SAD. When the IRS audits you they use Infected Diseased Rats (IDRs) to require Audit Victims to truthfully and completely produce true documents and statements for them to peruse and use to extract the maximum cash from you.
Golly, if only they were supervised and made to tell the truth and were instructed to audit to find a correct and fair tax or refund due. Actually that is their written goal from the IRS Manual but Audit targets don’t see many refunds from SAD.
One of the tricks SAD plays is to do “ONE HALF AUDITS” to drive up their score. A “1/2” is where they audit your income and skip your deductions. Then they issue a “TD” Report that gives you zero deductions and lots of taxes due. (TD is a
We understand that SAD’s production is measured by the numbers on the final Audit Reports and not by the final results after Appeals, Tax Court Decisions and the ultimate Collections of final taxes due.
Maybe that is why they have done 25 Audits of my clients in the last 2 years? Wait, it is 21 Audits of clients and 4 Audits of me.
I can tell you that there are false statements, in writing, in those audit reports. Lies by Dianna Beers, RA; Half-truths by Heather Blair RA; and Expedient Falsehoods by Aleksandr Cherkashin, RA.
All of those lies and cheating methods have produced over one million dollars of Audit Scores for SAD. But how much have they collected? And how much do they have to spend to collect any of that Million Dollars?
First let’s talk about their SWAG. We have reported on Doctor Zee who was one of 2 older American Men who suffered Strokes within the last 3 years and then was chosen for Field Audits by SAD.
(Full Disclosure) Joan Page claims that she has no input on who is selected for audits by SAD. We don’t believe that, but we think that was true in the last century. Only now the IRS is using Social Media for Audits and audit selection.
In any case Doctor Zee and Gary Friend are the two older men who were selected for audits by SAD. Doctor Zee had 4 audits by SAD. The 4 started in January of 2018 and were dragged out until November of 2018 when the Audit Report was finally issued.
Zee had filed his 2015/2016 Partnership returns and the related Form 1040s before his stroke in 2017. His grown children moved him from Texas to Georgia and nursed him back to semi-health and then the Audit Notices came.
Zee’s kids were great but they moved him without his accounting records and books of his partnership. Make no mistake, books, records and receipts are needed to fight off an IRS audit. I say “Fight Off” because an IRS Audit is not a search for Truth and Justice.
IRS Audits are designed to be so nasty, intrusive and unfair that even if you had not had a stroke an IRS Audit can be life threatening. Just check out the IDRs (Infected Diseased Rats) they give you.
Still, we had my files and excellent work papers to reconstruct the tax returns that we filed. Doctor Zee had been audited by the IRS six times before and we had received Five “No Change” Reports and a small refund. So we thought it would be easy to win this set of audits.
The first auditor was James Marion, R A, who was fair but disappointed that the records were lost. He was probably going to issue a tax due report but he was replaced by Heather Blair, R A and she did her usual work, a TD Report with maximum tax, penalties and interest.
Doctor Zee was terrified by this audit and he just wanted it to be over. Five times he said, “This Audit may kill me.” And other such remarks. The audit was delayed because of the change in auditors and work load requirements of SAD.
When the Report was finally issued it claimed about $30,000 was due, including $4,500 of penalties. We thought it was really Chicken Sh*t and I believed that I could kill the penalties and reduce the tax to $12,000 by filing an Appeal.
When I discussed the case with Doctor Zee he said, “My wife is sick, this audit could kill me. We are going to settle it,” and he paid the $30K. This was a VICTORY for SAD, and life prolonged for Doctor Zee.
How can we fix the problem of false statements by IRS? Well, look at the statement that taxpayers must sign on the bottom of all Federal Tax returns. The Tax preparer must also sign a slightly different one.
“Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and belief, they are true and correct and accurately list all amounts and sources of income I received during the tax year.”
Let’s add a similar statement for IRS Auditors to sign on each their Audit Reports. There is no such requirement for IRS Agents to sign under Penalties of Perjury. Why is that? If taxpayers and tax preparers must swear when they sign then why not have an Auditor swear that the report is true?
Why would an Auditor not want to sign such a declaration? First, it is more work to do. Second, this may stop some of the “Speculative Reports” that are issued to test the resistance of Audit targets.
Third, this would trend to reduce the amounts claimed as due by the Exam Department. The Reports would have to be more reasonable and more truthful. This is a noble Goal. Let’s try for it.
This Blog, written by me, Anson Avery, CPA is the Truth, the Whole Truth and nothing but the Truth, so help me God.