What Will the IRS Find If They Google You?

March 11, 2014 at 5:30 pm (Adult Industry, Business, Business Taxes)

The Internet is a wondrous world where people may become anyone with any lifestyle that they desire. People create alter egos for a plethora of reasons. Some do it to exercise other personalities within themselves, researchers and writers do it to learn more about a particular group or culture for their work and others do it to speak their thoughts without the fear of recourse. Of course there are also those that do it to deceive and thieve. In this great web of information, some is true and some is not. Anyone can say anything about themselves or others be it true or false.

We all know that the IRS will go to great lengths to find in depth information about taxpayers’ modes of income and lifestyle including “Googling” their websites and blogs. However, it has come to my attention that they are delving further into taxpayers’ online life than suspected. They are hunting to uncover other possible identities and lifestyle via message boards, social media and individual postings. To some that may not be much of a surprise, but it may come as a surprise that the IRS is also taking to subpoena companies to answer questions about your membership. Regardless of the intent or context, some IRS agents are willing to use taxpayers’ own words and the words of others against them in an audit, be those words true or not.

Many might think, “Well, if you aren’t doing anything wrong, then why worry?”. There is much cause to worry as many people share the same name or pseudo name in real-time and online life. Identity mix-ups happen all the time and now with ease of the Internet and ID theft, the danger of being misidentified is higher than ever. You must protect yourself and one way to do that is to be truthful when preparing your tax return or when having it prepared.

I am a tax preparer who believes that client transparency is the key to a water-tight and legal tax return while also helping to legitimize the Adult Industry. I advise those clients with non-legal income to separate it out, report it and handle it appropriately within the tax law. Know that you and you alone own your tax return and will be held responsible for any and all information on it. Be truthful and keep excellent notes for each tax year in your records.

It is good practice for any business to have a business plan. I advise that if you own a business, that you at least write a detailed description of what your business is, what it offers and doesn’t offer and how it is run. It doesn’t hurt to also have a mission statement as well. Make certain that all of your online and real-time actions clearly and closely represent this description and mission statement.  Keep a copy with your tax documents as it may be crucial to your case in the event of an audit. In this way you will have written it when you are relaxed and eloquent and not when you are under audit, scared and stressed. It is also important to “Google” yourself regularly to keep a close eye on what is out there about you.

In an IRS audit it really is a “crap shoot” whether or not you are assigned a fair agent. With that in mind, do you really want to gamble with your personal and tax information as well?

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2 Comments

  1. Phillip G. Brumbaugh CPA, CVA said,

    The internet and social media are wonderful things that society cannot live without. We use them to make our lives easier, but we tend to forget the risk involved with it. The fact that personal information about us is available at the click of a few button is scary, espescially for people who fail to declare earnings. In my opinion the IRS are doing nothing wrong by using the internet and social media to catch people who fail to declare earnings, and fully support the statement, ‘if you aren’t doing anything wrong, then why worry?’

    • taxdomme said,

      Evidently Phillip you did not fully read my post or you just didn’t pay attention because you had already formed an opinion of what you assumed it would be about. If you had read it thoughtfully, you would understand that it is not at all about hiding income, but instead about other human rights issues. If you knew anything about Tax Domme, you would know that I am 100% about full disclosure of income and handling your tax situation legally. Actually, I directly address this in the fourth paragraph. Unfortunately, those that are ignorant in regard to the Adult Industry and/or are just vehemently against it, automatically assume that that all sex workers and those that service them are pro-tax evasion and illegal acts. Are you trying for a piggyback seo with my name to drum up business of those who you obviously disregard and have no problem insulting?

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