(NewsGlobal.com)- The IRS has rejected a whistleblower report alleging Biden owes at least $127,000 in taxes.
A former Republican congressional aide, Chris Jacobs, filed charges with the IRS against Biden and his accountant, claiming he didn’t desire any financial reward.
Jacobs received a letter from the IRS explaining that they would not pursue the claim.
Republican assertions that Biden owes up to $500,000 in taxes are unlikely to be settled. Biden will run out the clock with the 3-year statute of limitations.
Willens said it appears the president underpaid his Medicare taxes.
To avoid paying a 3.8 percent Medicare tax on much of the haul, Joe and Jill Biden routed it via S corporations in 2017 and 2018. Many rich people utilize S companies to reduce their tax payments, yet the IRS prosecutes few cases of understating taxable income.
The money comes from Biden’s book sales and speaking fees after leaving the government. Experts believe revenue earned directly from one’s labor should be liable to the Medicare tax regarding the president’s connections to his son Hunter Biden’s abroad business relationships.
Jacobs didn’t ask about the first son’s paternity, but an IRS audit would necessitate examining Biden’s multiple sources of income.
Following up on her April 22 letter, Taxpayer Advocate Tresa Williams replied to Jacobs: and said that under IRS guidelines, an award might be bestowed only if the information supplied resulted in tax collection. So you’re not eligible for an award.
Jacobs filed two complaints, one in February against Biden and the other last month for Tax Day. Following that, the IRS wrote 22 days later to indicate it would not act on the tip. His subsequent complaint went unanswered, although the circumstances are remarkably identical.
The IRS has a three-year statute of limitations for unpaid taxes if the evasion is not intentional.
Willens said that without the IRS’s interest in pursuing an enforcement action, Mr. Jacobs has no avenue to prosecute the case. As a result of the IRS’s disregard for his information, there will be no ‘proceeds’ from which to pay a whistleblower reward.
Willens said the three-year statute of limitations runs out on the anniversary of Biden’s 2018 tax filing or the April 2019 filing date, so the clock is presumably already ticking. Biden revised his 2018 tax return on July 7, 2019, although it’s unclear when he first submitted it.
A taxpayer who fails to record gross income above 25% of the gross income stated on the tax return’ gets a statute of limitations extension. In certain circumstances, the statute of limitations is six years. The six-year term does not apply if the money is mischaracterized.
Willens added that no one expects the IRS to declare that the president’s tax returns are false with the intent to dodge taxes owed. The issue of ‘reasonable recompense for services done is more of a factual than a legal question.
Jacobs is concerned about the IRS’s decision.
Jacobs found it perplexing that the IRS could take five months to execute a minor adjustment to correct a typographical error made by one of his customers yet only three weeks to dismiss a complaint about Joe Biden’s conduct.
Jacobs said that if Republicans retake Congress next year, they should investigate why the IRS has spent a decade examining Donald Trump yet refuses to investigate what tax experts from both parties have described as Joe Biden’s legally problematic behavior.
Republicans have promised to look into Biden’s financial position if they recapture Congress next year, accusing him of hypocrisy in calling for the affluent to pay their “fair share.”
Biden sponsored legislation last year to address the tax loophole and strengthen IRS enforcement.
Democrats said Biden employed a typical tax approach and that no directly comparable example shows he was incorrect in his calculations.
Last year, Biden spokesman Andrew Bates stated that House Republicans were not interested in seeing Trump’s tax returns. Unlike Biden, the former president declined to release his tax returns, claiming they were under audit.
He said Biden is delighted to have resumed the bipartisan tradition of being forthright with the American people about the chief executive’s income by releasing over 22 years of tax returns.
The president’s Build Back Better program guarantees that our economy benefits middle-class families, not just the affluent, by ensuring that the wealthy pay their fair share and the IRS has the tools it needs to prosecute wealthy tax cheaters. He also urges his Republican colleagues to change their minds.
According to Indiana Senator Jim Banks, Biden might face a half-million-dollar tax bill. Last year, banks asked the Congressional Research Service to provide a report on what constitutes “fair remuneration” for S companies.
Even though the CRS report found no cases similar to Biden’s, Banks stated that according to the criteria CRS provided to his office, Biden owes the IRS and the American people hundreds of thousands of dollars in back taxes. He said that every American should know Joe Biden’s tax hypocrisy.
Banks said that when the Republicans win back the House in 2022, Oversight Committee Republicans will not forget about Biden’s legally problematic tax evasion techniques.
