San Rafael, CA (PressExposure) July 17, 2009 -- Tax Reduction Letter) Tax reduction expert Murray Bradford recently shared his advice on how victims of Bernie Madoff's and others' Ponzi schemes can take advantage of newly-instated tax relief from the IRS. "New IRS Safe-Harbor Tax Relief for Ponzi Scheme Losses" is available to anyone who signs up for a 7-day free trial at the Bradford Tax Institute, home of the Tax Reduction Letter. Published in June of 2009, the article gives taxpayers a roadmap to avoiding IRS scrutiny when they wish to write off theft-related losses associated with Ponzi schemes to which they may have unwittingly been a party. The Bradford Tax Institute is a tax reduction resource comprising tax deduction tips and strategies for the self-employed and other taxpayers.
"Ponzi scheme-related theft is enough of a frustration and financial catastrophe for taxpayers without the additional concern over IRS scrutiny regarding their claimed losses," said Bradford, whose expertise in tax reduction comes from 30 years in accounting, including a lengthy stay at Price Waterhouse. "Fortunately, federal legislation and IRS rules enable taxpayers to take advantage of new safe-harbor rules. These greatly simplify the process for taxpayers who file information on these losses with their returns and provide an alternative that protects them from the almost certainty of attracting an IRS audit."
Publisher of the Tax Reduction Letter every month, tax reduction expert Murray Bradford, CPA, has years of experience in developing and implementing small business tax reduction strategies. A former accountant for Price Waterhouse, Bradford is founder of several tax reduction strategy businesses. Quoted in national publications such as The Wall Street Journal and featured on national programming such as Financial News Network and CNBC, Bradford has helped more than 500,000 self-employed taxpayers realize an average of $17,700 in new tax deductions. His popular courses provide actionable small business tax advice.
As a result of federal legislation and IRS actions, Bradford's article notes, a new IRS safe harbor is available this year to victims of Ponzi schemes, many of which have surfaced over the past 18-plus months. The option is far preferable to the standard procedure for taxpayers to claim theft-related losses on their tax returns, which, according to Bradford, is a surefire way to invite an IRS audit because of general rules stated in Revenue Procedure 2009-20. To calculate a loss and invoke the safe harbor, taxpayers must follow a 10-step process. Bradford's article outlines these steps for readers, provides information to help taxpayers deal effectively with "carryback" loss rules, and shares advice on how to avoid Ponzi schemes entirely.
"Without the safe harbor, the process for claiming a loss associated with a Ponzi scheme is unduly complicated and leaves the taxpayer prone to an IRS audit," said Bradford. "But this kind of scrutiny is the last thing crime victims need. It behooves tax professionals to familiarize themselves with the alternatives in order to spare their clients from unnecessary scrutiny."
Taxpayers and tax professionals can view a Bradford Tax Institute video tutorial and learn how to gain access to nearly 400 Tax Reduction Letter articles at the site, with more on the way. Each presents tax reduction tips in plain English for tax laypeople and includes annotations for savvy accounting professionals. The last three issues are available through a 7-day free trial of the Bradford Tax Institute. Readers who decide to subscribe to the Tax Reduction Letter right now, however, receive immediate access to the entire archive.
"Tax Strategies for the Self-Employed (2009)" is also available. In this annual course, Bradford shares tax deduction tips designed to help one-owner and husband-and-wife businesses navigate the maze of rules they must follow to properly determine and report their income. Readers who order this tax reduction course immediately gain access to 171 tax lowering strategies that draw on Bradford's expertise from 30 years in accounting. His tutorial on S corporations, for instance, is one such strategy, made available for free. Those interested may first watch a video that shares seven free insights into reducing and audit-proofing their taxes.