KPMG tax fraud

Holy crap.. CNN is reporting that eight KPMG executives have been indicted today in what they are calling “the largest tax evasion scheme in U.S. history”:

… eight former executives of the major accounting firm KPMG were charged Monday with conspiracy in a scheme to sell fraudulent tax shelters that shorted the IRS at least $2.5 billion dollars, the Justice Department announced Monday.

A ninth alleged conspirator charged in the case is identified as an outside attorney paid to write letters for KPMG assuring clients the tax shelters “more likely than not” would withstand an IRS challenge.

…

IRS Commissioner Mark Everson issued a stinging condemnation of KPMG’s actions.

“The wealthy have always paid more than average citizens. But not according to KPMG,” Everson declared. “KPMG’s actions were a direct assault on our progressive system of income taxation,” he said. “Accountants and attorneys should be the pillars of our system of taxation, not the architects of its circumvention.”

2.5 BEELLION. That’s a lot. Amanda’s brother works for KPMG.. I hope he doesn’t get laid off as a result of this, but it can’t be good news for KPMG in general.