NAIHP Exposes AMC Tax Evasion / RESPA Violations

From: National Association of Independent Housing Professionals

Excerpt:
 
Washington, D.C. - February 13, 2012.   NAIHP recently discovered many Appraisal Management Companies (AMC's), are operating without authority in most states and have failed to pay state income tax.

When businesses are formed, they are required to register with their Secretary of State, for authority to conduct business. That registration alerts the State Tax Department you exist and may be responsible for certain taxes. The same holds true if you operate outside your home state, according to Marc Savitt, NAIHP President.

"Most AMC's are only registered in a handful of states, but operate nationwide. If you're not registered, you're not paying taxes," said Savitt.

My comment: when you get an appraisal request from an AMC, see if they are registered with your state (if your state has AMC regulations in effect). If not, file a complaint with your state regulator.

http://www.thenichereport.com/breaking-news-2/naihp-exposes-amc-tax-evasion-respa-violations