Meetings

CTEA'S next meeting via Zoom is:

Date:  Monday, July 20. 2026

Subject:  Abusive Tax Shelters and Transactions

Speaker: Anthony Box, Attorney

Program Number: NX6M8-T-00165-2026-O 

Prerequisites: None

CE Credit Hours: One

Time: 10 a.m. - 11 a.m.

Abusive Tax Shelters and Transactions Overview

I. Introduction & Overview

• Definition of a Tax Shelter vs. Abusive Transactions: Legitimate tax-advantaged investments (e.g., 401(k) plans) and schemes designed to confer unintended tax benefits.
• Basic Characteristics: General traits of abusive transactions:
  • Little or no economic risk or value relative to the tax benefits claimed.
  • Heavy reliance on pass-through entities, trusts, or third-party facilitators to hide true asset ownership.
  • Substantial upfront fees paid to promoters.

II. IRS Enforcement, Reporting, and Penalties

• Disclosure Requirements: Detail taxpayer obligations to report participation using IRS Form 8886.
• Material Advisor Responsibilities: Discuss requirements for promoters/advisors to maintain investor lists and report participation via IRS Form 8918.
• Civil and Criminal Penalties: Outline the consequences of participating in or promoting abusive tax shelters:
  • Section 6707A penalties for failing to disclose reportable transactions.
  • Accuracy-related penalties on tax understatements.
  • Section 6700 penalties for promoting abusive tax shelters.
• IRS Resources: Explain the role of the Office of Tax Shelter Analysis and how to submit IRS Form 14242 to report suspected abusive schemes.

IV. Prevention & Best Practices

• Red Flags for Taxpayers: How to identify unsolicited, "too good to be true" financial strategies marketed late in the tax year.
• Importance of Due Diligence: The necessity of seeking independent advice from trusted, credentialed accountants or tax attorneys before entering opaque financial arrangements.

VI. Trends and Conclusion

Q&A and Resource Sharing: Open the floor for questions and provide links to official IRS resources on Abusive Tax Shelters and Transaction

Tony brings over 25 years of previous experience as a CPA, federal prosecutor, and FBI agent to helping clients resolve all kinds of financial controversies, from IRS audits and DOJ enforcement actions to internal investigations and white-collar criminal matters. His recent experience as an AUSA prosecuting tax and other economic crimes gave him a solid understanding of how to navigate government controversies more efficiently. 
 

Note: Invitation to this event will be made to members through email. The email will include the meeting link. Visitors or anyone else interested in attending this meeting must email Jackie Rollins at JackieRollins02@aol.com for an invitation.