n

State and Local Tax Services - Accounts Payable Review, State Audit Representation

State and Local Tax Services - The SALT Group - HJH Consulting Company

For Immediate Release
September 7, 2004

Michigan – DOT and IRS Join Forces Against Tax Avoidance 

Michigan becomes the 48th state to sign an agreement with the IRS to share information on Abusive Tax Avoidance Transactions (ATAT’s) and the Taxpayers who participate in them.  Only Nevada and Wyoming have yet to sign on the dotted line.

In an effort to work more efficiently and in tandem with the states, the IRS will exchange information they have gathered on abusive tax avoidance transactions, thus allowing the states to glom on to these Taxpayers, reducing a duplication of efforts and the need for lengthy examinations. 

The agreement does not change procedures governing communication on routine tax compliance efforts, thereby maintaining the separation of Federal and State tax authority, as well as protecting Taxpayer privacy.

In addition to the benefit of greater cooperation in these matters, the partnership between the IRS and Michigan includes joint outreaches to the public to more effectively counter the claims of those marketing tax schemes and scams.  The IRS and Michigan have also entered into another agreement that allows the state to turn over to the IRS tax refunds to satisfy a Taxpayer’s Federal tax liability.

If you would like additional information on this topic or have any questions, please contact David Rohlmeier, Regional Vice President - Sales & Use Tax Group at (469) 364-9600. E-mail drohmeier@thesaltgroup.com


Back to Main News Page


The HJH Consulting Group Plaza | 874 Harper Road | Suite 101 | Kerrville, Texas 78028 | 830.257.1290 | Fax 830.257.2138
©2001-2005 The SALT Group® - All Rights Reserved