Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
IRS May Lean on Social Media to Gain Information About Taxpayers
Author: Scarinci Hollenbeck, LLC
Date: May 1, 2013
Key Contacts
Back
The Internal Revenue Service is receiving a great deal of criticism after allegations that it relies on social media and emails as an investigative tool into potential tax law violations being committed by Americans.
For example, if a person submits a suspicious tax return in which they claim little income, but then post pictures of a luxury purchase or string of vacations they took, this could prompt greater scrutiny by the IRS, Digital Trends reports.
The charge has led to a great deal of scrutiny about which means the federal agencies can and cannot use to prosecute potential lawbreakers. When it comes to social media sites, such as Facebook and Twitter, the law may be on the side of the IRS if it relies on public information to support its claims, according to the news source. Information that is made publicly might be fair game for federal agents, and many professionals across different industries – ranging from divorce attorneys to insurance agents – have used information publicly posted on Facebook and Twitter in a legal atmosphere.
However, the IRS has denied using social media in any form to go after Americans.
“Suggestions that the IRS is using social media to target taxpayers for audit are wrong,” an IRS spokesperson told Fox Business. “Audits are based on the information contained on a person’s tax return, not a posting on a social media site.”
However, the IRS recently got into hot water for its controversial policy of reading taxpayers’ personal emails without a search warrant. In a U.S. Senate hearing, Acting Commissioner Steven Miller said that the no-warrant-required policy would be eliminated within 30 days for e-mail communications, according to CNET. However, he did not elaborate on whether other types of private communications would also fall under this suspended policy.
- Practices: Tax and Trusts & Estates
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Reputational Risk and Legal Exposure: Why New Jersey Businesses Must Manage Them Together
New Jersey businesses must manage legal and reputational risk together because modern disputes play out on two fronts at once: the legal proceeding itself and the court of public opinion, where customers, employees, investors, and business partners often reach conclusions long before a judge or jury has had the opportunity to evaluate the facts. Success […]
Author: Sean M. Pena
Eviction Is Not Always the End: Understanding Post-Possession Rent Claims in New Jersey and New York
No. An eviction does not automatically end a tenant’s obligation to pay rent. Post-eviction rent claims are common because recovering possession resolves who has the right to occupy the premises, but it does not extinguish the tenant’s contractual obligations under the lease. Whether unpaid or future rent remains owed depends on three factors: the lease’s […]
Author: Donald M. Pepe
Company Dissolved? Legal and Financial Consequences to Expect
A company is dissolved; legally, it ceases to exist. Accordingly, dissolution results in significant legal and financial consequences. It is a process that must be properly managed to avoid continuing liability. The Corporate Dissolution Process Corporate dissolution is the legal process of formally closing a corporation, paying its debts and distributing the remaining assets. Most […]
Author: Jay McDaniel
The Legal Implications of Signing a Triple Net Lease
A triple net lease is a commercial lease in which the tenant pays the property’s real estate taxes, insurance, and maintenance costs, known as the three nets, in addition to base rent. They are most often used in freestanding retail and office buildings and in large single-tenant industrial properties, with terms that typically run 10 […]
Author: Donald M. Pepe
When to Settle and When to Fight: A Litigator's Framework
Every lawsuit comes with a cost, and knowing when to settle a lawsuit is one of the most consequential decisions a business owner will face. Experienced litigators understand how to minimize cost and obtain certainty for their clients. For many business owners, the decision is viewed almost entirely through a financial lens: What will it cost […]
Author: Sean M. Pena
Types of Business Law Services Companies Actually Use
Business law services are legal services that help companies form, operate, transact, protect assets, manage risk, and resolve disputes. The phrase can sound broad because it is broad. A company may need help with entity formation one month, contract review the next, a commercial lease after that, and a business dispute later in the year. […]
Author: Scarinci Hollenbeck, LLC
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.