SOURCE: Consolidated Credit
FORT LAUDERDALE, FL--(Marketwire - Mar 22, 2012) - The Supreme Court ruled that filing a false tax return is an aggravated felony and it may cause the automatic deportation of legal residents.
The ruling took place after a Japanese couple, Akio and Fusako Kawashima, was charged by the IRS with filing a false corporate tax return. The Kawashimas are lawful immigrants, but according to the Supreme Court, individuals who defraud the IRS for more than $10,000 should be deported regardless of their legal status in the country.
The Supreme Court's ruling is a warning for millions of legal immigrants in the United States who may face deportation if they fail to file their tax returns accurately. Experts at Consolidated Credit Counseling Services, Inc., offer the following advice:
- Choose a reliable tax preparer: Since taxpayers are responsible for signing and reviewing their tax return, concealing or disguising information may result in legal consequences that range from paying fines to going to jail. For this reason, taxpayers should always review their return before signing it and make sure the tax preparer is an accredited tax preparer, certified public accountant (CPA), licensed public accountant, or tax attorney.
- Don't conceal or transfer income: Immigrants tend to have accounts outside of the U.S. and many transfer part of their income to those accounts. Income always needs to be declared regardless of where the accounts are. The same situation occurs with properties. Immigrants are not always aware of paying all their property taxes. You need to pay taxes on all your income, including properties that may be far away from the United States.
- Pay taxes on extra income: Many times immigrants get a fixed salary during the year, but they may also receive additional income for freelance work that is omitted in the tax return. It is crucial to track extra income received throughout the year. An effective way of keeping finances organized is by creating budget worksheets for income and expenses.
- Over-reporting the amount of deductions: Deductions may be confusing for taxpayers, especially for those who are new in the country. Visiting the IRS's website about what you are able to deduct can clarify matters. People can call the IRS at 1-800-829-1040 if they have questions.
For additional information, contact Consolidated Credit at (877) 201-7780. More information can be found in Spanish by visiting http://espanol.consolidatedcredit.org or calling (800) 560-6213.
Consolidated Credit Counseling Services, Inc.
Consolidated Credit Counseling Services, Inc., founded in 1993, is one of the nation's largest credit counseling organizations in the country and has helped over 5 million people with financial issues. Their mission is to assist families throughout the United States in ending financial crisis and solving money management problems through education and professional counseling.