Schemes, Scams, and Swindles: The Danger of Ponzi Schemes

Overview

Ponzi schemes aimed at defrauding unsuspecting individuals and taking their money have existed for hundreds of years. The Madoff scheme brought this type of scam to the attention of the American public in 2008, but there are many other such schemes that have operated in the United States since then. The purpose of this course is to familiarize tax professionals with Ponzi schemes and help them identify the hallmarks of such schemes. The guidance offered to financial professionals to deal with clients who have suffered Ponzi losses is presented and discussed, together with examples from the U.S. Tax Court in which taxpayers are seeking to recover their losses.

Find this course for your license


License or Certification 

 

Regulator 

 

Type 

 


Objectives

  • Identify the general operating methods of a Ponzi scheme
  • Recognize the typical hallmarks that are frequently the identifying characteristics of a Ponzi scheme
  • Identify the methods used by the IRS to communicate guidance to professionals who represent taxpayers who have suffered losses from Ponzi schemes
  • List the two different methods supported by the IRS for the reporting of Ponzi losses by individual taxpayers
  • Identify the role played by banks and other financial professionals in the operation of Ponzi schemes

Tax Year: 2024

Designed For:

CPAs, EAs, tax and other finance professionals


WebCE® is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org. For more information regarding WebCE administrative policies such as refunds, cancellations and concerns, please contact Support Services at 877-488-9308.

Course Information

Adding additional credit may change exam requirements.

Advanced Preparation: None