DOJ Tax Division to Target Legal-Source Income Fraud in 2011

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The Department of Justice's Tax Division will focus on combating legal-source income tax fraud as its top priority in 2011, says Sandra R. Brown, chief of the U.S. Attorney's Office Tax Division in Los Angeles. Another priority tax target set by Attorney General Eric Holder for the Tax Division's 2011 criminal enforcement efforts include what Brown refers to as “sham trusts,” which aim to reduce or eliminate businesses and individual tax liabilities through the use of fictitious refund filings and similar types of fraud schemes.