"TaxMasters" files for Bankruptcy

Practical and Practice issues for Professionals who practice in the area of taxation. Moral, social and economic issues relating to taxes, including international issues, the U.S. Internal Revenue Code, state tax issues, etc. Not for "tax protestor" issues, which should be posted in the "tax protestor" forum above. The advice or opinion given herein should not be relied on for any purpose whatsoever. Also examines cookie-cutter deals that have no economic substance but exist only to generate losses, as marketed by everybody from solo practitioner tax lawyers to the major accounting firms.
Number Six
Hereditary Margrave of Mooloosia
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Location: Connecticut, "The Constitution State"

"TaxMasters" files for Bankruptcy

Post by Number Six »

Yet another high profile tax firm appears to have questionable practices.
http://www.bloomberg.com/news/2012-03-1 ... ts-1-.html
'There are two kinds of injustice: the first is found in those who do an injury, the second in those who fail to protect another from injury when they can.' (Roman. Cicero, De Off. I. vii)

'Choose loss rather than shameful gains.' (Chilon Fr. 10. Diels)
Famspear
Knight Templar of the Sacred Tax
Posts: 7668
Joined: Sat May 19, 2007 12:59 pm
Location: Texas

Re: "TaxMasters" files for Bankruptcy

Post by Famspear »

For a description of some of the practices allegedly used by Taxmasters, see also Antkowiak v. TAXMASTERS, No. 11-1882, U.S. Court of Appeals for the Third Circuit (Dec. 22, 2011), at:

http://scholar.google.ca/scholar_case?q ... 10&scilh=0

Patrick R. Cox, the main guy at Taxmasters, is currently licensed as a CPA in Texas. Incidentally, he does have a disciplinary history with the Texas State Board of Public Accountancy. See:

http://www.tsbpa.state.tx.us/php/fpl/in ... 46nDqGU%3D
"My greatest fear is that the audience will beat me to the punch line." -- David Mamet
Famspear
Knight Templar of the Sacred Tax
Posts: 7668
Joined: Sat May 19, 2007 12:59 pm
Location: Texas

Re: "TaxMasters" files for Bankruptcy

Post by Famspear »

There are actually three related cases on this:

TaxMasters, Inc.
fka Crown Partners, Inc.
Federal EIN **-***8803
case. no. 12-32064-H2-11
U.S. Bankr. Court, Southern District of Texas (Houston Div.)
Voluntary Chapter 11, commenced Sunday, March 18, 2012
Judge David R. Jones, presiding

TaxMasters, Inc.
dba Texas TaxMasters, dba TaxMasters
Federal EIN **-***4925
case. no. 12-32065-H2-11
U.S. Bankr. Court, Southern District of Texas (Houston Div.)
Voluntary Chapter 11, commenced Sunday, March 18, 2012
Judge David R. Jones, presiding

TMIRS Enterprises, Ltd. (a partnership)
dba TaxMasters
Federal EIN ??????
case. no. 12-32062-H3-7
U.S. Bankr. Court, Southern District of Texas (Houston Div.)
Voluntary Chapter 7, commenced Sunday, March 18, 2012
Judge Leticia Z. Paul, presiding
Janet S. Casciato-Northrup, Chapter 7 Trustee
"My greatest fear is that the audience will beat me to the punch line." -- David Mamet
Olsenfin

Re: "TaxMasters" files for Bankruptcy

Post by Olsenfin »

So TaxMasters can join Roni Deutsch in the Tax Cheats Enablers Hall of Shame.
Pantherphil
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Cannoneer
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Joined: Fri Feb 25, 2005 9:25 pm

Re: "TaxMasters" files for Bankruptcy

Post by Pantherphil »

Good news that Roni Deutsch, JK Harris and Taxmasters have all come to their just reward. A TRI-FECTA.
But if I had my way, every cable net work and every cable TV show host who accepted ads from these crooks would share the financial responsibility to the victims,
Number Six
Hereditary Margrave of Mooloosia
Posts: 1229
Joined: Fri Aug 29, 2008 6:35 pm
Location: Connecticut, "The Constitution State"

Re: "TaxMasters" files for Bankruptcy

Post by Number Six »

When a commercial gets parodied by SNL, it must be pretty bad.

Other commercials and infomercials ripe for parody; the juicing and other health-oriented commercials; discount brokerages; MS/PR69/70 coin hawkers.
'There are two kinds of injustice: the first is found in those who do an injury, the second in those who fail to protect another from injury when they can.' (Roman. Cicero, De Off. I. vii)

'Choose loss rather than shameful gains.' (Chilon Fr. 10. Diels)