Exposing Your Client to IRS Audits and Tax Penalties Is Not a Good Career Move

The Secure Transportation and Executive Protection News for Wednesday, September 12th, 2018

 

In Business of Executive Protection News

From the International Security Driver Association

Exposing Your Client to IRS Audits and Tax Penalties Is Not a Good Career Move

If a provider supplies “Secure Transportation” They Must Be In Compliance With The IRS Code That defines Secure Transportation.

There are many secure transportation providers that use those two words as a marketing tool, BUT if a supplier does not comply with the IRS code, they expose their client to financial risk.

If the Secure Transportation supplied does not meet the IRS Code, the cost of that transportation is considered a perk to the executive. As a perk, the executive will be required to pay tax on the amount of the service. If the executive or their company believe that the service provided is as advertised (Secure Transportation) but, in fact, it does not meet the IRS Code, specifically in the code that defines Security Driver, then the executive unknowingly is personally responsible for the taxes on the amount of that service. If this scenario continues over a period, the executive is personally responsible for the tax on the service, the interest, and penalties, which can be a considerably large sum of money, not to mention one pissed off executive. The ISDA would suggest reading  Vehicle Dynamics Institute CEO Joe Autera’s article “Perk or Prerequisite: the Security Driver from a Business Perspective” to find more info about the code. Also consider that if the company has a K&R policy, they also have a requirement of Secure Transportation.

Also, not all protection markets may be affected by the IRS code. So we will tell you what Joe Autera and Tony Scotti tell the clients – “We are not tax accountants and lawyers.” If you offer these services, we would strongly suggest you have someone with knowledge of the tax codes give you an opinion concerning your compliance to the tax code.

Other Related Article from Cornell University -

An explanation of IRS Code from Cornell University

https://isdacenter.org/exposing-client-irs-audits-tax-penalties-not-good-career-move/

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In Terrorism News

 From The Drive

USAF Trying To Find Weapon Used In Mystery Attacks On US Diplomats As Evidence Points To Russia

The U.S. government reportedly has intelligence that indicates Russia is behind a spate of bizarre attacks on American diplomats in Cuba and China. At the same time, American officials are trying to recreate the weapon the attackers might have used with help from the U.S. Air Force. If the Russian connection is true, the incidents would represent a significant escalation in the Kremlin’s already aggressive policies toward the United States, but it would also be in line with a growing number of brazen Russian acts against their opponents overseas, including the attempted assassination of a former intelligence agent in the United Kingdom. 

 

http://www.thedrive.com/the-war-zone/23523/usaf-trying-to-find-weapon-used-in-mystery-attacks-on-us-diplomats-as-evidence-points-to-russia

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In Vehicle News

From Auto News

Lexus dumps side mirrors for sleek digital camera on next ES

Lexus is dropping traditional side mirrors for sleek digital cameras in what it calls an industry-first move to improve safety, visibility and cabin solitude.

The technology will debut in the redesigned ES sedan that goes on sale in October. 

The camera-based system initially will be available only in Japan as the country streamlines regulations to allow for mirrorless vehicles. 

 

http://www.autonews.com/article/20180912/OEM04/180919888/lexus-dumps-side-mirrors-for-sleek-digital-camera-on-next-es

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In Technology News

From Defense One

The Military Now Has Tooth Mics For Invisible, Hands-Free Radio Calls

Next time you pass someone on the street who appears to be talking to themselves, they may literally have voices inside their head…and be a highly trained soldier on a dangerous mission. The Pentagon has inked a roughly $10 million contract with a California company to provide secure communication gear that’s essentially invisible.

Dubbed the Molar Mic, it’s a small device that clips to your back teeth. The device is both microphone and “speaker,”  allowing the wearer to transmit without any conspicuous external microphone and receive with no visible headset or earpiece. Incoming sound is transmitted through the wearer’s bone matter in the jaw and skull to the auditory nerves; outgoing sound is sent to a radio transmitter on the neck, and sent to another radio unit that can be concealed on the operator. From there, the signal can be sent anywhere. 

 

https://www.defenseone.com/technology/2018/09/military-now-has-tooth-mics-invisible-hands-free-radio-calls/151145/

 

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Links to all news stories mentioned in this podcast are available at the archive website securitydrivernews.libsyn.com. You can also listen to past news briefings and leave comments.

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