Monday, August 19, 2013

Wow..A Veteran IRS Agent Caught Cheating on Charity Deductions

By Gary Snyder

IRS Revenue Agent Margaret Payne had her own 2008 and 2009 tax returns examined, she faked receipts to back up her claimed cash donations. She gave fake documents and lied to the IRS to support a deduction. 

Now she calls the decision “completely unfair and biased,’’ but declined further comment to Forbes. In the Judge's 12-page-decision, the story is a sorry one: During the audit, Payne, then a 28 year IRS veteran, gave an IRS examiner copies of two year-end letters, purportedly signed by Pastor Lemuel M. Mobley of the Living Stone Baptist Church in Brooklyn, stating she had donated $6,047 to LSBC in 2008 and $14,000 in 2009.  But when the examiner met with Mobley, he said he didn’t even know Payne (his congregation had only 50 to 75 members) and that the letters were a “cut and paste job” on church letterhead, with his name forged and even misspelled.

Pastor Mobley later said: “She pieced together a financial statement and stated to me that she had one of her children to sign my name…..She stated that she was sorry for what she had done. She asked for forgiveness and I forgave her for what she had done to me as well as to the church. I did not give her or anyone else permission to sign my name on any document.’’

In a scathing opinion upholding $6,500 in back taxes and $1300 in penalties against Payne, he described the case as full of “inconsistencies, contradicting testimony, fabricated documents, and simple untruths,” and observed that the three witnesses (Payne, Mobley and  an accomplice IRS secretary) had each “not only contradicted the testimony of the others but also contradicted his or her own testimony and documents. ’’
The judge concluded Payne had engaged in a “misguided and inept attempt to support claimed charitable contribution deductions through a fictional account of the past,”

Nonprofit Imperative gathers its information principally from public documents...some of which are directly quoted. Virtually all cited are in some phase of criminal proceedings; some have not been charged, however. Cites in various media: Featured in print, broadcast, and online media outlets, including: Charity Navigator, Vermont Public Radio, Miami Herald, National Public Radio (NPR), Huffington Post, The Sun News, Atlanta Journal Constitution, Wall Street Journal (Profile, News and Photos), “Betrayal”, (a movie), NBC (on Charity Fraud…TBD), FOX2, ABC Spotlight on the News, WWJ Radio, Marie Claire, Ethics World, Aspen Philanthropy Newsletter, Harvard Business Review, Current Affairs, Charity Navigator, The Chronicle of Philanthropy, St. Petersburg Times, Board Room Insider, USA Today Topics, Accountants News, Newsweek.com, Responsive Philanthropy Magazine, New York Times, Portfolio Magazine, The Virgin Islands Daily News, NANKAI (China) BUSINESS REVIEW, National Religious Broadcasters newsletter, The Charity Governance Blog, American Chronicle, Palm Beach Post, Detroit Free Press, Oakland Press, Nonprofit World, Socially Responsible Business Forum, PNNOnline, Ohio Nonprofit Resources, Nonprofit Good Practice Guide, Nonprofit Startup Guide, Nonprofit Blog, National Coalition of Homeless Newsletter, Finance and Administration Roundtable Newsletter, MichiganNonprofit.com, CORP! Magazine, Crain’s Michigan Nonprofit, ncrp.org, PhilanTopic, Nashville Free Press, Nonprofit Law Blog, Seniors World Chronicle, Carnegie Reporter, Assoc. of Certified Fraud Examiners Examiner, msnbc.com, Worchester (MA) Telegram and Gazette, Carnegie Corporation of America, EO Tax Journal, Wikipedia: Non-profit Organizations; Parent: Wise Austin, Accountants News, Veterans Today, Answers.com, Far-roundtable, #Nonprofit Report, nonprofithelpnews, nonprofit news; National Enquirer, Northwest Herald, The HelpWise Daily, The #Nonprofit Report, Wikipedia (Nonprofit Organization), Answers.com, Nonprofits: On the Brink (2006) Silence: The Impending Threat to the Charitable Sector (2011)
Post a Comment