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ASK THE EDD LAWYER - WHY IS THE DEPARTMENT OF JUSTICE GIVING TAX SCAMMERS A FREE RIDE?

By Robert S. Schriebman
March 23, 2016

Introduction

I have written many articles on this website calling the public’s attention to IRS tax scams and IRS impersonators. There is not a week that goes by, here in the office, that we are helping victims of these scams.

IRS scams are the largest, most pervasive impersonation scams in history. The American public submits about 14,000 complaints to the IRS and other authorities every week!

In a recent IRS Press Release it was shocking to learn that the Department of Justice (Justice) has yet to prosecute very few scammers. Why?

Senator Chuck Grassley Is Very Concerned

For those unfamiliar with Senator Grassley, he is a Chairman of the Senate Judiciary Committee. He recently wrote to higher-ups in the Justice Dept. demanding an explanation as to why there were so few criminal indictments issued against these criminals. Senator Grassley wrote, "This is a serious issue that demands a strong response." Grassley demanded robust federal prosecution in order to deter scamming activity.

Senator Grassley is demanding a detailed accounting of the investigations and prosecutions of such scams, and an explanation of why these crimes have not been a higher priority to Justice.

Scammers target older Americans. Why? Because they are home, answer the phone and have the money to pay. These people are tricked by people pretending to be from the IRS. They have become very sophisticated, and present themselves as legitimate. The average American on the receiving end of these calls does not know that the IRS does not call people demanding money and does not seek financial information over the phone.

Senator Grassley has demanded a response from Justice by April 11th. I fear that he will get the standard "party line" response that there is not enough funds available to hire additional prosecutors and supporting personnel. At any rate, the response from the Department of Justice will be interesting.

I will keep you posted.

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Robert Schriebman has a successful practice in the Rolling Hills Estates area of Los Angeles County serving clients throughout California and the United States. He has successfully dedicated more than 40 years to helping individual taxpayers, business owners, CPAs, Enrolled Agents, and tax attorneys navigate the complicated tax systems of the federal and state governments.

Robert Schriebman has written the only 2 books ever published dealing with how California Employment Development Department (EDD) operates. See "California Tax Collection Practice and Procedures" and "California Taxation Practice and Procedure," both published by Commerce Clearing House.

Robert Schriebman has written over 20 books including the major manual used nationally by practitioners and the IRS, "IRS Tax Collection Procedures – A Manual for Practitioners" published by Commerce Clearing House.

Robert Schriebman has written over 20 books including the major manual used nationally by practitioners and the IRS, "IRS Tax Collection Procedures – A Manual for Practitioners" published by Commerce Clearing House in addition to the only 2 books ever published dealing with how California Employment Development Department (EDD) operates. See "California Tax Collection Practice and Procedures" and "California Taxation Practice and Procedure," both published by Commerce Clearing House.

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