If my rental properties are idling, how can the IRS find out about rent sent to a third party?

by Amy M. Fox, CPA | Jun 01, 2018
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I have properties under my name, and I receive rent wired to my foreign account. I understand those are taxable. If I ask the tenant to send money to a friend’s account, I also understand that money is available to me and taxable. But, if I say those properties were idling, not rented out, how could the IRS find out? 

You are asking about tax evasion, which is illegal. You cannot evade taxes because you don’t think the IRS will ever find out that you under reported your income.

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Answered by: Amy M. Fox, CPA, is with Zippo Manufacturing Company in Bradford, Pa.

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