Paying one’s fair share of taxes is central to life in the United States. To this end, the government takes an aggressive stance if the IRS believes that a person or company has committed fraud in an attempt to lessen their tax burden. This can include taking steps to lower one’s apparent income, using improper deductions, or simply failing to file a tax return.
Any of these activities may result in the opening of a criminal case. Federal tax fraud is a felony where a conviction can result in stiff fines, penalties on existing tax obligations, and prison sentences. People facing these charges need to act aggressively to protect themselves.
A South Carolina federal tax fraud lawyer may be able to help. They could provide more information about federal tax fraud laws and which ones apply to your case. A motivated federal criminal attorney could then work toward developing a legal strategy designed to protect your finances and your freedom.
The core concept behind the idea of tax fraud is taking any action with the intent of defrauding the IRS. Under 26 United States Code § 7201, an attempt to evade or defeat any tax obligation is a felony where a conviction can result in up to five years in prison, a maximum fine of $100,000, or both. Because of the seriousness of this charge, it is essential to understand what behaviors may constitute tax fraud.
The simplest example is not filing a tax return. In fact, this is a separate criminal offense that can carry a jail term of up to one year. In some situations, failing to file a tax return is a lesser included offense to tax fraud.
There are also other behaviors that may count as tax fraud. These can include claiming improper deductions, not reporting all income, or claiming incorrect dependents when calculating one’s tax burden. A knowledgeable attorney in South Carolina could provide more information about federal tax fraud and the laws that prohibit this behavior.
Allegations involving any form of tax fraud are serious matters that can have significant implications for individuals and companies alike. As a result, it is vital to promote an effective defense as soon as a party learns about a pending IRS investigation.
As it applies to tax fraud cases, a key concept is intent. A party only commits fraud when they intend to not pay the government their fair share of taxes. Because of this fact, an honest error should not result in criminal charges. Sadly, overzealous prosecutors may not believe that an activity was a mistake and file a case in court. Here, a federal tax fraud attorney could help to demonstrate that any apparent impropriety concerning a party’s taxes was a mere error.
In other situations, it may be necessary to argue that an investigation that led to the procurement of documents was illegal or that a whistleblower provided inaccurate information in their report. In any case, a competent South Carolina lawyer could help to create reasonable doubt about potential federal tax fraud.
Criminal tax fraud cases are serious matters. Something as straightforward as failing to file a tax return could come with severe criminal and financial penalties. Other allegations involving intentional tax fraud could result in even longer prison sentences and heavier fines.
A South Carolina federal tax fraud lawyer may be able to help prevent this outcome. They can work with you to understand what went wrong and why criminal charges resulted. They could then stand by your side to protect your reputation and defeat the prosecution’s case. Call now to discover more.