Mar 30, 2018
Missouri 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, in case 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 over your case and see if it should be sent for criminal prosecution. Normally, this specialist has experience and will seek guidance of the IRS’ tax fraud attorney for help if it looks necessary.
The penalties for tax fraud are serious. You could get up to five years in jail, plus fines of $500,000, in addition to the cost of prosecution for each tax crime. Once the criminal tax case is completed by the IRS criminal unit, it’ll be referred back to the IRS Examination Division in which the taxes are assessed. The IRS can add the civil tax fraud penalty in addition to the criminal tax fraud penalties. It’s important to know that tax bills from civil or criminal tax fraud can’t 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 must 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, hiding assets, dealing in cash, failure to make estimated cash payments, failure to cooperate with government, failure to make payments.
For those who have any of these problems and are audited by the IRS, you might need a tax fraud lawyer. Actions you take during a tax audit can transform a normal 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 plan.
Is Tax Fraud a crime?
Tax fraud is a common 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 average Americans. Underreporting income, failing to file taxes, or overstating deductions are grounds for audits. If the IRS finds cause to further afield following someone falsifies their tax accounts – then the IRS will heavily investigate.
Do you need an attorney for a tax fraud case?
Hiring an attorney for a tax fraud case isn’t just a good idea; it’s a necessary action. When you have been charged with a serious crime such as tax fraud, your future is at stake.
It is imperative that you hire an attorney who has defended people in cases that are similar to your case. Here are other qualifications that you should look for in a good tax fraud attorney.
1. An attorney should be able to provide data about the outcomes of previous cases. You should find out the number of cases that the attorney won, lost or negotiated a plea deal.
2. An attorney should be licensed in your jurisdiction. Verify that the attorney possesses a license that is in good standing.
3. A good attorney should have strong oral and written communication skills. You will be required to respond to inquiries from the IRS. It’s important to have an attorney who can clearly communicate to the you and IRS investigators.
Tax fraud cases can be complicated. The positive impact of an experienced tax fraud attorney on your case shouldn’t be underestimated. An attorney can act as your advocate and keep you out of jail.
As soon as you receive notification that you are being investigated for tax fraud, schedule a consultation with an attorney. Hiring an experienced attorney can change the outcome of your case.