IRS posts info on abusive tax shelters
- By Mary Mosquera
- Feb 11, 2004
The IRS, as part if its effort to combat abusive tax shelters, today launched a new section today on its Web site to warn and educate employee retirement plan professionals about shady schemes and transactions.
The information is located in the Retirement Plans section at www.irs.gov, where IRS identifies 'listed transactions' involving employee retirement plans. It also provides guidance, such as Treasury Department regulations and IRS revenue rulings, designed to stop transactions the IRS deems abusive.
Treasury recently identified a scheme involving indirect contributions to Roth IRAs and one involving S corporation'a designation for small businesses'employee stock ownership plans as tax avoidance transactions.
The new section also provides contact information for reporting suspected abusive transactions to the IRS.
'Employees and retirees count on the reliability of employee plans, which are overseen by the IRS,' said IRS Commissioner Mark Everson. 'We're providing this information so law-abiding plan professionals and participants can avoid being duped by promoters of abusive schemes that endanger the integrity of employee retirement plans.'
Mary Mosquera is a reporter for Federal Computer Week.