Could The IRS Be Coming After You In Lehigh Acres For Back Taxes And Fines?
By Ben Smell – Special correspondent for the Lehigh Acres Gazette
The Lehigh Acres Gazette has learned something that the Former Chief failed to mention prior to the voting on the fire fee assessment. Remember the old saying, “What’s Your Life Worth?” Now the IRS may be coming to Lehigh Acres to undercover a mess of bad tax returns.
According to the IRS that the Fire Fee Assessment is NOT a tax, so you can’t deduct the charge as a real estate tax on your personal or corporate tax return.
So how people many people have done this so far in the last two years?
Following is the rule from the IRS:
Itemized charges for services. An itemized charge for services assessed against specific property or certain people isn’t a tax, even if the charge is paid to the taxing authority. For example, you can’t deduct the charge as a real estate tax if it is:
- A unit fee for the delivery of a service (such as a $5 fee charged for every 1,000 gallons of water you use),
- A periodic charge for a residential service (such as a $20 per month or $240 annual fee charged to each homeowner for trash collection), or
- A flat fee charged for a single service provided by your government (such as a $30 charge for mowing your lawn because it was allowed to grow higher than permitted under your local ordinance).
According to IRS a spokesperson if you recording such fee or assessment in your return you could be subject to an IRS audit and or fines.