CIVIL TAX ENFORCEMENT
Tax Fraud Investigation Team
Noncompliance with tax laws places an unfair burden on you, the honest taxpayer.
Part of living in a free and civilized society involves the payment of taxes so the government can provide an infrastructure to ensure its citizens have a fair opportunity to prosper. The government relies on its citizens and businesses to voluntarily pay a portion of their income and sales to fund education, roads and highways, social programs, criminal justice and other services which provide the foundation for society to function.
Moreover, business owners who do not fulfill tax obligations, as set forth in Kansas Statutes, unjustly and illegally gain a competitive advantage over their honest competitors.
The Kansas Department of Revenue (KDOR) is committed to upholding the integrity of Kansas tax laws. KDOR takes the responsibility to detect and confront noncompliance very seriously. The Kansas Legislature has provided KDOR appropriate statutory tools to preserve a level playing field by applying legal remedies to enforce compliance when taxpayers choose to disregard their tax obligations. These tools include civil remedies such as wage garnishments, bank account levies and seizure of assets. Criminal sanctions also exist in Kansas statute for KDOR to utilize when deemed appropriate for the level of noncompliance.
A ‘Tax Protester’ is someone who commonly refuses to pay their fair share of taxes by asserting prejudiced constitutional, legal, or moral arguments. These arguments have been defeated multiple times in courts of law. The United States Congress has enacted Internal Revenue Code section 6702 "in an effort to deter tax protesters from filing frivolous returns." This statute was enacted as part of the Tax Equity and Fiscal Responsibility Act of 1982. http://www.irs.gov/
KDOR employs a dedicated team of Investigators and Research Analyst’ who specialize in the detection of ‘Tax Protesters’ and subsequent eradication of elaborate tax schemes. These schemes include, but are not limited to, failure to file; over-stating exemptions, deductions and expenses; and under-reporting taxable income and/or sales. Also prevalent are tax refund schemes involving the use of fictitious information in order to fraudulently obtain a refund the taxpayer is not legally entitled to. This form of criminal activity is not tolerated by KDOR.
The Fraud Investigation Team works closely with the Kansas Department of Labor (KDOL) in Misclassification Investigations. The Misclassification of employees occurs when an employee is wrongly identified as an Independent Contractor … and this happens more than one might assume.
It is critical the business owner properly determines whether the individuals providing services are employees or independent contractors. The owner must withhold income taxes, withhold and pay Social Security and Medicare taxes, and pay unemployment tax on wages paid to an employee. By identifying incidents of intentional Misclassification and applying the appropriate penalties to the offender, KDOR and KDOL ensure that unfair advantages are not realized.
To report a case of misclassification, or learn more about what misclassification of employment is, please see the information detailed in this Kansas Department of Revenue and Kansas Department of Labor joint website … https://www.kdor.org/misclass/
Do you know of a person or business not paying their fair share of taxes
to the State of Kansas and should be reported for review?
Click here to report a suspected case of fraud to the Department of Revenue Tax Fraud Investigation Unit.
You will need to include as much information as possible in your complaint to aid us in our investigation. Your information and contact will remain confidential.
Due to confidentiality requirements we can not divulge to you the results of any pending investigation at any time. But please understand, we investigate every tip / report we receive.