Sunday, April 08, 2007

Hewitt’s Rotten Egg/Small Business Lay More Eggs

With the Easter season upon us, I was somewhat surprised (but not really) by the news of Jackson Hewitt’s run in with the Justice Department. If you haven’t heard the news yet, Hewitt is accused of defrauding the government out of more than 70 million dollars by filing fraudulent tax returns using phony W-2’s and claiming bogus deductions and tax credits. The franchises affected are in Chicago, Atlanta, Detroit, and Raleigh and it even alleges that managers and employees were in on the scam. For many individuals, it may be a better idea to go to a trusted advisor or purchase software and file your taxes yourself. You will definitely come out better, and you will also stay away from those refund anticipation loans that typically take a majority of your hard earned dollars. I wonder how business is doing at Hewitt offices these days. Hewitt officials have launched an internal probe into the allegations. We’ll see what happens.

There was however good news this week from the small business/self employed front. According to an article in USA Today, the Labor Department saw the number of self employed individuals rise by 132,000 from February to March of this year. The self employment rate also edged up to 8.6% of all private sector employment. This is great news for the small business sector (see last weeks post). Small businesses are the backbone of our economy and with the sector growing, everyone will benefit.

Just may want to seek tax assistance from someone other than Hewitt. Happy Easter everyone and continue to keep your Business N Synergy.

Brian N. Stovall

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