The Internal Revenue Service is checking out dozens of participants in a financial arrangement to see if they are reaping illegal tax benefits by underreporting income on mortgage-backed securities, which make up the bulk of the multitrillion-dollar market for asset-backed securities. The inquiry, which an I.R.S. official said yesterday was in its early stages, concerns the use of arcane but powerful investment entities known as real estate mortgage investment conduits. Remics, as they are called, are a complex legal entity through which the vast majority of mortgage-backed securities are sold. The I.R.S. is looking at whether companies and firms that set up remics â including the giant housing agencies Fannie Mae and Freddie Mac, as well as Wall Street investment banks, commercial banks and other mortgage originators â have undervalued the interest earned on those securities and thus underpaid their federal taxes, according to a senior I.R.S. official, Barry Schott. http://www.nytimes.com/2007/10/13/business/13tax.html?_r=1&ref=business&oref=slogin IRS wants always its part of the cake...
The people running sub-prime scams... Are a lot smarter than the drones working for the IRS... And have the best lawyers, best accountants, etc. So the drones will catch 1%... and throw the book at them... Instead of Congress passing real anti-fraud statutes... To help clean-up US business culture. But this is the America Way... This is the mainsteam US business Culture of Exploitation... That is promoted on CNBC every day.
IRS is a Scam. Federal Income Tax is a Scam. The authority of the federal government to collect its income tax depends upon the 16th Amendment to the U.S. Constitution, the federal income tax amendment, which was allegedly ratified in 1913. After a year of extensive research, Bill Benson discovered that the 16th Amendment was not ratified by the required 3/4 of the states, but nevertheless Secretary of State Philander Knox fraudulently announced ratification. http://www.thelawthatneverwas.com/new/home.asp