Mar 30, 2018
Florida Tax Fraud Lawyers
In most tax audits done by the IRS, the agency is only interested in collecting taxes owed, interest, and with penalties. The IRS can impose a negligence penalty, along with a late filing penalty, and charge interest on all of the above. In a tax audit, if the IRS suspect you have committed tax fraud, they can impose a civil tax fraud penalty. This penalty is typically equal to 75 percent of the tax you owe, plus interest on the penalty.
Based on the degree of fraud involved, the IRS auditor may ask a tax fraud expert to look over your case and see whether it ought to be sent for criminal prosecution. Normally, this specialist has expertise and will seek guidance of the IRS’ tax fraud attorney for help if it appears necessary.
The penalties for tax fraud are serious. You could get up to 5 years in jail, plus fines of $500,000, in addition to the expense of prosecution for each tax crime. Once the criminal tax case is completed by the IRS criminal unit, it will be referred back to the IRS Examination Division where the taxes are assessed. The IRS can add the civil tax fraud penalty in addition to the criminal tax fraud fines. It’s important to know that tax statements from civil or criminal tax fraud cannot be discharged through bankruptcy. The civil fraud penalty is dischargeable in a Chapter 7 bankruptcy.
Tax fraud is defined as intentional wrongdoing. To be accused of tax fraud, you have to have an intentional violation. Mere carelessness isn’t tax fraud. The IRS looks for certain things when evaluating whether fraud occurred, such as: understatement of income, inadequate records, failure to file, hiding assets, dealing in money, failure to make estimated cash payments, failure to cooperate with authorities, failure to make payments.
If you have any of these issues and are audited by the IRS, you might need a tax fraud attorney. Actions you take during a tax audit can transform the usual tax audit into a tax fraud case. By way of instance, lying or giving false answers to IRS investigators, delaying the investigation, or other actions to mislead IRS agents can indicate fraud.
Experienced tax fraud lawyers can help you navigate an IRS tax audit, and help you formulate a strategy.
Is Tax Fraud a crime?
Tax fraud is a frequent charge which could result from real mistakes in reporting tax information to the IRS. Tax offenses are a few of the most ordinary white collar crimes, which affects business professionals and ordinary Americans. Underreporting income, failing to file taxes, or overstating deductions are grounds for audits. If the IRS finds cause further afield following someone falsifies their tax accounts – then the IRS will greatly investigate.
Do you need an attorney for a tax fraud case?
The short answer to this question is always yes if the case is actually a tax fraud issue. Tax negligence and tax fraud are different legal issues and material case facts can matter greatly. The Internal Revenue Service is very serious about prosecuting cases of tax fraud, but they also know it is senseless to go after an individual who may have merely failed to file for a certain period. However, it is still never a good decision to attempt negotiating an agreement with the government without some type of legal counsel, especially when the potential for a criminal fraud charge could happen. Tax fraud investigations are just like other criminal investigations, and defendants are not required to provide self-incriminating evidence. This is when it becomes vital to have experienced tax fraud representation to defend any government claims.
There is a wide range of issues that the IRS could evaluate when considering whether to prosecute a tax fraud case. Many times a case may include minimal income amounts and very little delinquent taxes. These cases may not require an attorney. However, cases that may involve significant funds and there are signs of clear intent to avoid or falsely make a claim, the government may be inclined to pursue a conviction without an aggressive tax fraud attorney who can craft a case for reasonable doubt. Intent is a vital part of a tax fraud case, and a diligent tax fraud attorney can examine all evidence the IRS is using and question each particular item.
Never just accept that a settlement cannot be worked out in an Internal Revenue Service criminal complaint case, especially when the funds in question could potentially not be delinquent. Always retain an attorney who will fight for your rights and freedom when a jail sentence is being pursued. The government usually just wants their money unless a tax fraud case is extensive, but a case being prosecuted strongly could result in the need for very strong legal defense.