If you're new here, you may want to subscribe to my RSS feed. If you have any questions, please see my policies page or if you would like to contact me, you can do so here. You can find out more about me here. I sincerely thank you for visiting!

The IRS has released 5 Revenue Rulings describing various tax scams that people should not expect any mercy from the IRS if they use them on their tax returns.

Revenue Ruling 2006-17 emphasizes to taxpayers, promoters and return preparers that inserting the phrase “nunc pro tunc” on a return or other document submitted to the Service has no legal effect and does not validate an invalid return, make a delinquent return timely, invalidate a signature, create a claim for refund of taxes previously paid, or reduce one’s federal tax liability.

Revenue Ruling 2006-18 emphasizes to taxpayers, promoters and return preparers that any argument that Forms W-2 only record and report payments made to federal employees, or that only federal employees or residents of the District of Columbia or federal territories and enclaves earn wages subject to tax, has no merit and is frivolous.

Revenue Ruling 2006-19 emphasizes that an individual cannot escape taxation by attributing income to a purported trust. The Service will take vigorous enforcement action against frivolous arguments relating to trusts.

Revenue Ruling 2006-20 emphasizes to taxpayers, promoters and return preparers that any argument that Forms W-2 only record and report payments made to federal employees, or that only federal employees or residents of the District of Columbia or federal territories and enclaves earn wages subject to tax, has no merit and is frivolous.

Revenue Ruling 2006-21 emphasizes that an individual cannot escape taxation by attributing income to a purported trust. The Service will take vigorous enforcement action against frivolous arguments relating to trusts.

Additionally, the IRS issued a Notice that explained these and even more common frivilous arguments (PDF link) and reminded taxpayers what the penalties for making frivilous arguments for delay of collection are (read: not fun).

I love reading tax protestor arguments and laughing. Again, if anyone tells you that you can avoid all taxation and they have the answer (for a large fee, naturally) run the other way. If you get a card, call the IRS; you may just be in for a reward.