Criminal Defense Lawyers

IRS Criminal Investigation Letter Received

Last Updated on: 13th November 2025, 11:37 pm

You opened the mail. Official IRS letterhead. “Criminal Investigation Division.” Your hands are shaking. You’re thinking: “Should I call them and explain? Maybe if I just talk to them they’ll understand it was a mistake.” Stop. What you do in the next 60 seconds determines whether you go to prison for 37 months or whether your attorney has a chance to prevent that outcome. The IRS Criminal Investigation Division maintains a 90% conviction rate that’s never fallen below 90 percent – and they don’t investigate to see IF you committed a crime, they investigate when they already have evidence to convict you.

About Spodek Law Group

The Spodek Law Group is a premier New York criminal defense law firm – with over 40 years of combined experience in federal criminal defense. Our managing partner, Todd Spodek – a seasoned criminal defense attorney, was the lawyer of Anna Delvey, the subject of the Netflix series. We’ve defended many, many, clients who received IRS Criminal Investigation letters – and we’ve seen the three catastrophic mistakes that destroy defenses in the first 24 hours. Here’s what the 90% conviction rate means and what you need to do RIGHT NOW.

What the 90% Conviction Rate Actually Means

The IRS Criminal Investigation Division maintains a 90% federal conviction rate that has never fallen below 90 percent – unmatched in federal law enforcement, and for BSA-related cases, that’s Bank Secrecy Act violations, the conviction rate is 97.3% for FY22-24 adjudicated cases with average prison sentences of 37 months, that’s over 3 years in federal prison, so when you combine that 97.3% conviction rate with the 37-month average sentence you’re looking at near-certain 36-month imprisonment if this goes to trial.

But here’s what that conviction rate actually tells you – it’s not just that IRS-CI is good at prosecuting, it’s that they’re incredibly selective about which cases they open, they don’t investigate to gather evidence and see if maybe you committed a crime, they investigate when they already HAVE the evidence needed to convict you, that’s why the rate is so high, it’s prosecutorial selection bias not just skill. IRS-CI investigated thousands of cases in FY22 but only referred a fraction for prosecution, so if you received a Criminal Investigation letter you’ve already been screened and selected as prosecutable, you’re not in the “maybe” pile, you’re in the “we can convict this person” pile.

By the time that letter arrived, IRS-CI has already done months or years of investigation – they’ve reviewed your bank records, interviewed witnesses, analyzed your tax returns and compared them to your financial activity, they’ve built a case file that they believe proves beyond reasonable doubt that you committed a crime. This changes everything about how you respond – you’re not explaining a mistake, you’re defending against criminal charges federal prosecutors are confident they can prove, and what you do in the next 24 hours determines whether you preserve any chance of avoiding that prison sentence.

The First 24 Hours – Three Catastrophic Mistakes

The letter says you have 10 to 30 days to respond, but the most critical deadline is the first 24 hours. Here are the three mistakes we see many, many, times:

Mistake #1: Calling Your CPA First

There is NO attorney-client privilege between you and your CPA or tax preparer for criminal matters. Everything you tell them can be used against you, and they can be compelled to testify. Hour 1: you call your CPA and explain what you’re worried about = Hour 1: you create a witness who’ll testify against you at trial. Only communications with a criminal defense attorney are privileged.

Mistake #2: Calling the IRS Agent

The call will be recorded. Anything you say will be used against you. You’re trying and convince them it was a mistake, and what you’re actually doing is providing statements they’ll quote in the government’s brief.

Mistake #3: Gathering Documents Before You Retain an Attorney

Documents you create right now are NOT protected attorney work product. They can be subpoenaed. Notes you make become evidence. Timeline you draft becomes the prosecutor’s timeline. Everything you create before attorney-client privilege attaches can be used against you.

Target Letter vs. No Letter

Most people indicted for federal tax crimes never received a target letter. They find out when FBI agents arrive at 6 AM with an arrest warrant. If you received a letter, you’re actually in a BETTER position because it creates a 10 to 30 day negotiation window where your attorney can contact the prosecutor, potentially prevent indictment, or prepare for charges. The federal government is NOT required to send target letters – getting one is a warning most defendants don’t receive. This window is the difference between walking into arraignment with your attorney who’s assessed your options versus being arrested with no warning.

The Voluntary Disclosure Timing Trap

Many people receive the IRS-CI letter, Google “how to avoid prosecution,” find articles about Voluntary Disclosure, and apply – catastrophic mistake. The IRS’s own VDP guidelines say if investigation is already underway, voluntary disclosure will “likely have no effect…may do more harm than good.” Worse – if you’re denied preclearance, the IRS can use your application as evidence against you.

VDP requires you to admit you were willful – intentional, purposeful, deliberate. The application requires:

• What you did
• When
• How much tax evaded
• What methods used

This is EVERYTHING a prosecutor needs. If IRS-CI denies you (because investigation already started), they use your VDP application as your signed confession. The window for voluntary disclosure closes when investigation STARTS, not when you’re indicted, and by the time you got the CI letter, that window closed months ago.

What Your Attorney Needs to Do in the First 10 Days

Days 1-3:

Attorney contacts IRS-CI to identify the investigating agent, determines investigation scope (what tax years, what violations), assesses whether deadline can be extended, reviews what evidence government likely has.

Days 4-7:

Determines if cooperation makes sense, assesses pre-indictment resolution possibilities, develops response strategy (provide information vs. decline interview).

Days 8-10:

Drafts response to target letter, prepares proffer materials if cooperating, or prepares declination letter, negotiates deadline extensions if needed.

What You Need to Do RIGHT NOW

What NOT to do:

❌ Call your CPA.

❌ Call the IRS agent.

❌ Gather documents or create timelines.

❌ Apply for voluntary disclosure.

❌ Talk to anyone about the investigation (not privileged until attorney retained).

What TO do:

✓ Contact criminal tax attorney IMMEDIATELY (within 24 hours).

✓ If agent contacts you: “I will not speak without my attorney present.”

✓ Preserve all documents – don’t create new ones, don’t destroy old ones.

✓ Do NOT discuss with family/friends/business partners (not privileged).

✓ Verify letter is legitimate by calling IRS-CI directly.

Contact Spodek Law Group Now

Our criminal defense attorneys at Spodek Law Group have defended many, many, clients facing IRS Criminal Investigation – federal tax crimes, Bank Secrecy Act violations, offshore account cases, employment tax fraud. Our law firm – Spodek Law Group knows what IRS-CI special agents look for, we know how Tax Division prosecutors evaluate cases, we know when cooperation makes sense versus when fighting is better. Your next 24 hours determine whether you preserve attorney-client privilege or contaminate your defense. We are available 24/7 because IRS-CI cases don’t wait for business hours. Call us at 212-300-5196 if you need experienced federal criminal defense attorneys who’ve handled IRS-CI investigations, who understand the 90% conviction rate reality, who know when voluntary disclosure helps versus when it destroys your defense, and who can help you navigate the next 10 days without making catastrophic mistakes that seal your fate before your defense begins.