212-300-5196

Service & Results.

nyc criminal lawyers over 30 years of experienceWe Know How To Win Cases

Spodek Law Group handles tough cases
nationwide, that demand excellence.

Get Free Consultation

Faced 5+ Years in Prison

People Vs Joseph Amico

Covered by NYDaily News. Las Vegas man accused of threatening a prominent attorney and making vile remarks.

Faced 10+ Years in Prison

People Vs. Anna Sorokin

Covered by New York Times, and other outlets. Fake heiress accused of conning the city’s wealthy, and has an HBO special being made about her.

Faced 3+ Years in Prison

People Vs. Genevieve Sabourin

Accused of stalking Alec Baldwin. The case garnered nationwide attention, with USAToday, NYPost, and other media outlets following it closely.

Faced Potential Charges

Ghislaine Maxwell Juror

Juror who prompted calls for new Ghislaine Maxwell trial turns to lawyer who defended Anna Sorokin.

Why Choose Us

Clients can use our portal to track the status of their case, stay in touch with us, upload documents, and more.

Regardless of the type of situation you're facing, our attorneys are here to help you get quality representation.

We can setup consultations in person, over Zoom, or over the phone to help you. Bottom line, we're here to help you win your case.

Spodek
Law in the Media

View All

Meet Todd Spodek

WE PROVIDE WHITE GLOVE SERVICE TO CLIENTS
WHO WANT MORE FROM THEIR ATTORNEY

The Spodek Law Group understands how delicate high-profile cases can be, and has a strong track record of getting positive outcomes. Our lawyers service a clientele that is nationwide. With offices in both LA and NYC, and cases all across the country - Spodek Law Group is a top tier law firm.

Todd Spodek is a second generation attorney with immense experience. He has many years of experience handling 100’s of tough and hard to win trials. He’s been featured on major news outlets, such as New York Post, Newsweek, Fox 5 New York, South China Morning Post, Insider.com, and many others.

In 2022, Netflix released a series about one of Todd’s clients: Anna Delvey/Anna Sorokin.

Why Clients Choose Spodek Law Group

The reason is simple: clients want white glove service, and lawyers who can win. Every single client who works with the Spodek Law Group is aware that the attorney they hire could drastically change the outcome of their case. Hiring the Spodek Law Group means you’re taking your future seriously. Our lawyers handle cases nationwide, ranging from NYC to LA. Our philosophy is fair and simple: our nyc criminal lawyers only take on clients who we know will benefit from our services.

We’re selective about the clients we work with, and only take on cases we know align with our experience – and where we can make a difference. This is different from other law firms who are not invested in your success nor care about your outcome.

If you have a legal issue, call us for a consultation.
We are available 24/7, to help you with any – and all, challenges you face.

Unreasonable Compensation Defenses Lawyers

Tax law is one of the most complicated aspects of the United States legislation. There are rules regarding how the IRS can operate, how different tax payments are calculated, what constitutes an avoidance of tax payment, and how to go after delinquent taxpayers. One of the issues that you might run into is the concept of unreasonable compensation. This has become a more serious issue in recent years, resulting in the IRS looking closely at the compensation of company executives.
If you believe you may be the target of an unreasonable compensation investigation, you should talk to an attorney. They will be able to explain the situation, whether you have anything to worry about, and how you can avoid raising red flags in the future. They can also take you through the investigation process so that your rights are respected. If you are accused of wrongful compensation, your lawyer will create a defense strategy.
There are three main types of entity that the IRS tends to look at heavily when pursuing wrongful compensation cases. These include:

  • C corporations that might have paid employees who double as shareholders too much
  • S corporations that might have paid employees doubling as shareholders too little
  • Nonprofits whose key leaders might have increased their own pay beyond reasonable limits

Each of these situations is approached somewhat differently by the IRS. In each case, they’re looking for tax liabilities and tax evasion, but the method by which the taxes are evaded varies.
With C corporations, business owners and shareholders can avoid paying taxes by overpaying the employees who own shares. There are tax laws that allow C corporations to deduct any income that they pay in compensation to their employee shareholders. But the income has to be “reasonable.”
The key is for the investigator to find something called a disguised dividend. This is when a company is making a taxable profit, but they pay it out as compensation instead. Compensation is deductible income, but dividends aren’t. If the IRS finds income that should have been reported as a dividend, they may send the corporation a tax bill based on the dividend amount.
This means that you will lose the tax exemption on the income. In addition to paying back taxes, you’ll need to pay penalties and interest.
S corporations operate differently. In this case, the IRS is looking for signs that the employee shareholders are being underpaid. If the salaries are too low, that might indicate that they are funneling extra income into shareholder profit distributing.
Distributions are not classified as payroll taxable income. But a regular paycheck is. An employee might take extra distributions and a lower salary just so that they don’t have to pay federal taxes on the majority of their income.
Just like with C corporations, S corporations are bound to make their compensation “reasonable.” The definition of reasonable might vary, but it can’t include severely underpaying employees.
Nonprofits are entities that specifically do not generate a profit. The money they make goes back into the operation. They are subject to strict reporting standards, including the need to account for exactly what they do with every dollar in their budget.
The biggest red flag that the IRS looks for in nonprofits is key employees raising their own salaries beyond a reasonable level. In doing so, they effectively profit off of the nonprofit funds.
When the IRS finds unreasonable compensation among nonprofit executives, it qualifies the amount as “excess benefit transactions.” This is then given excise taxes. The person who received the compensation must pay a 25 percent tax, and the nonprofit managers that allowed the issue to happen unchecked will be given a 10 percent tax.
In these cases, you’ll only need to pay the excise tax based on whatever amount is considered “in excess.” Anything below that is not subject to the penalty. It’s important for nonprofit employees and accountants who work with nonprofits to understand the liability that they might have for excess compensation.
You might be shocked and offended to have your pay rate questioned by a federal auditor. But you shouldn’t react out of anger. Don’t say anything to them except that you’re going to consult with your lawyer. Then contact an attorney.
IRS investigators are trained to gather incriminating evidence from everything they do. That includes not just documentation, but also interviews. Everything you say will be twisted and used in the case against you. You can’t help yourself without legal counsel.
A skilled attorney may be able to defend you against the accusation by proving that you are not unreasonably compensated. They can point out your duties, accomplishments, qualifications, and role in the company. Documenting your value to the company is an essential part of proving that you are worth your salary.
There’s more to your defense than your prior experience and education, too. You might demonstrate to the IRS that you have industry connections and a reputation that the company can’t afford to lose. Similarly, if you’re good at communicating, you’ll be a valuable employee of any organization.

Free Consultation

Testimonials

I was searching for a law firm with some power to help me deal with a warrant in New York . After 6 days I decided to go with Spodek Law Group. It helped that This law firm is well respected by not only the top law firms in New York , but the DA , Judge as well. I...

~Fonder Brandon

5 Stars
It was my good fortune to retain Spodek Law Group for representation for my legal needs. From the beginning, communication was prompt and thorough. Todd, Kenneth and Alex were the first people I worked with and they all made me feel comfortable and confident that the team was going to work hard for me. Everything was explained and any concerns...

~A G

5 Stars
After meeting with several law firms, I chose the Spodek Law Group not only for their professionalism and experience, but for the personal attention given to me right from the initial consultation. It is important to recognize how crucial having the right legal team is when faced with potentially life altering events that impact families and the lives of loved...

~George Cherubini

Spodek Law Group

White Glove Service

We Provide Superior Service, Excellent Results, At A Level Superior To Other Criminal Defense Law Firms. Regardless Of Where Your Case Is, Nationwide, We Can Help You.
View More

Request Free Consultation

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

NYC

85 Broad St 30th Floor, New York, NY 10004

212-300-5196

get directions

Los Angeles

611 S Catalina St Suite 222, Los Angeles, CA 90005

212-300-5196

get directions

QUEENS

35-37 36th St, 2nd Floor Astoria, NY 11106

212-300-5196

get directions

BROOKLYN

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

212-300-5196

get directions
Call Now!