FREE CONSULTATIONS & WE'RE AVAILABLE 24/7

Mar 31, 2018

Indianapolis Tax Fraud Lawyers

In many 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, in addition to a late filing penalty, and charge interest on all the above. In a tax audit, even if the IRS suspect you have committed tax fraud, they can impose a civil tax fraud penalty. This penalty is typically equal to 75% of the tax you owe, plus interest on the penalty.

Based on the level of fraud involved, the IRS auditor may ask a tax fraud expert to look at your case and see if it should 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, plus the cost of prosecution for each tax offense. Once the criminal tax case is finished by the IRS criminal unit, it will be referred back to the IRS Examination Division in which the taxes are assessed. The IRS may add the civil tax fraud penalty on top of the criminal tax fraud fines. It’s important to know that tax bills 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 is not tax fraud. The IRS looks for certain things when assessing whether fraud occurred, such as: understatement of income, inadequate records, failure to file, concealing assets, dealing in cash, failure to make estimated cash payments, failure to cooperate with authorities, failure to make payments.

If you have any of these problems 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 example, lying or giving false answers to IRS investigators, delaying the investigation, or other activities to mislead IRS agents can indicate tax fraud.

Experienced tax fraud attorneys can help you navigate an IRS tax audit, and help you formulate a plan.

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 offenses, which impacts business professionals and ordinary Americans. Underreporting income, failing to file taxes, or overstating deductions are grounds for audits. If the IRS finds cause to prosecute after someone falsifies their tax report – then the IRS will heavily investigate.

Do you need an attorney for a tax fraud case?
There is a myriad of ways that the IRS can call into question your tax-related practices, and many of them do not warrant the hiring of an attorney. Some of the allegations presented by the IRS, such as tax fraud, are criminal matters, and if you are accused of a crime such as this, it is imperative that a reputable tax lawyer is contacted immediately, as the repercussions could mean imprisonment. When the IRS brings up a charge of tax fraud, it is generally because they have determined and can provide sufficient evidence that you purposely avoided paying your taxes, or made an effort to reduce the amount owed by misreporting your earnings. Because of the solid evidence that the IRS has usually accrued by the time charges are presented, there is a very high conviction rate when dealing with tax fraud cases. When hiring an attorney to fight charges of tax fraud, your representation is going to make an attempt to prove that your tax violations were made as a simple oversight, or some form of negligence, which, in that case, could help reduce a charge of prison time, to a fine. When dealing with allegations of tax fraud, if you plan to hire a tax lawyer, it is important to never speak with an IRS agent without having them present. IRS agents are very savvy, and given the complex nature of the charges at hand, they may attempt to use any information that you might divulge without the presence of your attorney. When under suspicion of tax fraud, the IRS agent will begin an investigation, and after enough evidence is gathered, they will proceed to bring up charges. Your hired attorney will also conduct an investigation, making an attempt to gauge the starting point of the charges, which will help to determine a counter-strategy.

Request Free Consultation

Testimonials

Request Free Consultation

Please fill out the form below to receive a free consultation, we will respond to your inquiry within 24-hours guaranteed.

Manhattan

85 Broad Street, 30th Floor
New York, NY 10005

Queens

35-37 36th St,
Astoria, NY 11106

Brooklyn

195 Montague St.
14th Floor,
Brooklyn, NY 11201

Manhattan

85 Broad Street, 30th Floor
New York, NY 10005

Phone

888-977-6335

Queens

35-37 36th St,
Astoria, NY 11106

Phone

888-977-6335

Brooklyn

195 Montague St.
14th Floor,
Brooklyn, NY 11201

Phone

888-977-6335