The IRS criminal and civil enforcement organizations work with the Department of Justice, Tax Division to shut down these abusive schemes as quickly as possible in an effort to protect taxpayers from potential additional financial harm. Parallel civil and criminal investigations are an effective and aggressive IRS approach that halts these schemes quickly and permanently.  A civil injunction against the promoter stops the scheme and prevents additional ‘clients’ from investing.  In addition, CI shares abusive tax scheme investor lists with the civil operating divisions to ensure investor tax returns are considered for examination (audit).

The IRS civil enforcement divisions have developed tools to educate the public about abusive tax avoidance transactions and have issued several consumer alerts.

How Do You Report Suspected Tax Fraud Activity?
If you have information about an individual or company you suspect is not complying with the tax law, report this activity.

Table of Contents - Abusive Tax Schemes

Tax Fraud Alerts

Criminal Investigation (CI)