Can I change the code on my expense reports?

Discussion in 'Economy' started by RodISHI, Feb 6, 2009.

  1. RodISHI
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    RodISHI Gold Member

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    Do you think the IRS would be okay if I change the expense codes from luxury items to say cleaning services while documenting business expenses?

    Well worth reading the whole article.
     
  2. auditor0007
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    auditor0007 Gold Member

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    I really don't care how much money anyone spends on a prostitute. However, when they use company money, they ought to be sent to jail. It's theft and fraud, just as if they spent the money on a vacation at company expense.
     
  3. RodISHI
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    RodISHI Gold Member

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    Yea but they are executives and CEO's?
     
  4. American Horse
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    American Horse AKA "Mustang"

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    As you know RodISHI, This amounts to tax fraud, as well as employee fraud. These charges will show up in the tax returns as outsized expense deductions and will prompt audits. Corporate employees think these things will go undetected but there are formulae which will pick up on them. Corporate tax returns and therefore expense deductions are required to be audited by CPAs and someone will pick up on it.

    ...
     
  5. RodISHI
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    RodISHI Gold Member

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    That's silly as a CEO I get to set the rules. Don't I?

    And I get to pick the accounting firm that best suits my interest. Don't I?

    Results 1 - 10 of about 78,800 for "kpmg" " sued". (0.17 seconds)


    I thought this one was out of those 78,000 possibilities of KPMG being sued was interesting....

    Them numbers sure add up fast.
     
  6. xsited1
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    xsited1 Agent P

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    Is this a list of the people in Obama's Administration?
     
  7. RodISHI
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    RodISHI Gold Member

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    She said she's still considering if will release the list of 9,800.
     
  8. garyd
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    garyd Senior Member

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    12 million people in NYC, given this day and age if only 9800 are hitting high class high dollar call girls I'd be surprised. The money in question here is chump change for that client list. All I want to know is how did these clowns get into those positions beiong that recklessly stupid? After the last idiot you'd have thought they'd have figured out cash only, fake ID and an absolute minimum of paper trail.

    Compounding this sort of idiocy with tax fraud is just umbelievably stupid.
     
  9. American Horse
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    American Horse AKA "Mustang"

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    the cash only crowd will have to pay for it themselves. To get "the company" to pay for it causes it to automatically be listed as an expense and a tax deduction. They will be caught, but how far down the line and how large the population of their cohort will determine their punishment. A high profile governor might not. The companies on whose books these charges are made will be penalized but by then the perps will have moved on, because the job wasn't important to them anyway.

    ...
     
  10. RodISHI
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    RodISHI Gold Member

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    Sounds good American horse but it really does not work that well to say they "will just have to move on."

    You can bet these guys have a long list of buddies they kicked in for such services or parties where enjoyment was the key theme. Surely you are not as naive to think they will be actually penalized for it that will make any difference?

    I did not personally here the stories but Rod did back when about how business gets done. He heard it from some of the upper echelon DOT guys. Obviously by the news story some of them use company funds to treat themselves aslo.
     

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