Report Bankruptcy Fraud to Keep the Cost of Bankruptcy Down
Bankruptcy fraud refers to the fraudulent activities such as providing false financial records or manipulated documents to judicial bodies after the person is declared as bankrupt.
It is very important for you to keep in mind that the expenses caused by such cases are eventually passed down to the taxpayers.
Therefore, you are strongly recommended to report such frauds as and when you come across one.
This way, you will actually be contributing towards keeping the cost of bankruptcy down to a very low amount.
Following is a brief rundown on how to do that.
Contact The Internal Revenue Service To start with, you can contact IRS (Internal Revenue Service) and provide them a detailed report of bankruptcy fraud pertaining to federal taxes or business dealings.
The IRS has several branches in every state.
All you have to do is to contact the nearest local branch in your state and ask the authorities about the appropriate method to report such fraudulent activities.
If it is in your knowledge and you are sure that a person is misusing resources for state welfare while filing for bankruptcy, you should immediately inform the state investigators in the local IRS branch.
Make Sure That You Are Following The Right Procedure By reporting the cases of bankruptcy fraud, you are definitely doing a good thing for the public welfare, but it is important for you to make sure that you follow the right procedure.
The good news is that state authorities who deal with the misuse of tax resources and budget issues have now started offering good rewards to the active citizens who report such fraudulent activities.
But, you can be eligible for that reward only if you follow the correct procedure.
For example, you must have sufficient evidence and proof in support of your report.
If your report lacks evidence, you will not be able to claim the reward.
Do Your Maths Before you contact the state authority to report bankruptcy fraud, you must do all your calculations thoroughly.
For example, you must figure out the total sum of money that is being misused in a bankruptcy case.
You will have to do a thorough research and investigation to gather evidence in support of your report.
For example, you may have to review business inventories, bankruptcy forms, and bank statements.
The point is that you must be able to report the accurate money total.
What is more, while you are reporting bankruptcy fraud, you will also be required to disclose the means that helped you find all those secret information about the fraudulent activities.
It is very important for you to keep in mind that the expenses caused by such cases are eventually passed down to the taxpayers.
Therefore, you are strongly recommended to report such frauds as and when you come across one.
This way, you will actually be contributing towards keeping the cost of bankruptcy down to a very low amount.
Following is a brief rundown on how to do that.
Contact The Internal Revenue Service To start with, you can contact IRS (Internal Revenue Service) and provide them a detailed report of bankruptcy fraud pertaining to federal taxes or business dealings.
The IRS has several branches in every state.
All you have to do is to contact the nearest local branch in your state and ask the authorities about the appropriate method to report such fraudulent activities.
If it is in your knowledge and you are sure that a person is misusing resources for state welfare while filing for bankruptcy, you should immediately inform the state investigators in the local IRS branch.
Make Sure That You Are Following The Right Procedure By reporting the cases of bankruptcy fraud, you are definitely doing a good thing for the public welfare, but it is important for you to make sure that you follow the right procedure.
The good news is that state authorities who deal with the misuse of tax resources and budget issues have now started offering good rewards to the active citizens who report such fraudulent activities.
But, you can be eligible for that reward only if you follow the correct procedure.
For example, you must have sufficient evidence and proof in support of your report.
If your report lacks evidence, you will not be able to claim the reward.
Do Your Maths Before you contact the state authority to report bankruptcy fraud, you must do all your calculations thoroughly.
For example, you must figure out the total sum of money that is being misused in a bankruptcy case.
You will have to do a thorough research and investigation to gather evidence in support of your report.
For example, you may have to review business inventories, bankruptcy forms, and bank statements.
The point is that you must be able to report the accurate money total.
What is more, while you are reporting bankruptcy fraud, you will also be required to disclose the means that helped you find all those secret information about the fraudulent activities.
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