On April 13, 2009, the IRS issued its 2009 “dirty dozen” list of tax scams, including schemes involving phishing, hiding income offshore and false claims for refunds.

“Taxpayers should be wary of scams to avoid paying taxes that seem too good to be true, especially during these challenging economic times,” IRS Commissioner Doug Shulman said. “There is no secret trick that can eliminate a person’s tax obligations. People should be wary of anyone peddling any of these scams.”

The scams in the announcement are illegal and can lead to problems for both scam artists and taxpayers who risk significant penalties, interest and possible criminal prosecution.

While the new law tax changes in the American Recovery and Reinvestment Act of 2009 were the most significant developments in the first quarter of 2009, many other tax developments may affect you, your family, and your livelihood. These other key developments in the first quarter of 2009 are summarized below.

Clarifying guidance on waivers of RMDs for 2009.
Retirement plan account participants, IRA owners, and their beneficiaries do not have to take required minimum distributions (RMDs) for 2009. The IRS has issued guidance clarifying that:

• If you would have been required to make RMDs for 2009 and you do make withdrawals in 2009 (that are not RMDs for 2008): (a) you might be able to roll over the withdrawn amounts into other eligible retirement plans; but (b) you must still include any previously untaxed portion of the withdrawal that you do not roll over in your gross income.

As I get older I notice the incidence of prostate cancer among my male friends increasing; not something of which I was conscious twenty or so years ago.

An interesting article appeared in the April 7, 2009, edition of the Wall Street Journal (pages B9 and B11) written by Melinda Beck entitled "Prostate Cancer: Weighing Options." In it she presents a grid comparing various treatments, including active surveillance, to a prostatectomy, radioactive seeds, and various drug therapies.

I bring it to your attention simply as a quick summary of the treatment options and as a springboard for