Tax Fraud

Tax Fraud

While the law allows for tax avoidance, tax fraud is a crime. Business owners often find themselves under increased scrutiny when it comes to finances because they have more legal (and illegal) strategies to avoid or lower their taxes.

But when does tax avoidance cross the line into tax fraud? The taxing authorities often make that distinction based on whether someone intended to commit fraud or did so accidentally.

Fraudulent examples include:

• Claiming personal expenses as business expenses
• Filing false tax returns or failing to file a return at all
• Hiding or transferring income and assets
• Intentionally omitting or under-reporting income
• Labeling a transaction as something it’s not
• Maintaining two sets of books and entering false information into books or records
• Overstating or claiming false deductions on a tax return

The IRS sees tax fraud as a serious offense. It can carry significant financial penalties and/or jail time. If you’re under investigation for possible tax fraud, the best approach is to respond quickly. You’ll need a savvy tax attorney to protect your interests and help you try to avoid criminal prosecution.

We represent accountants, businessmen, CPAs, corporate, and individual taxpayers. Our legal teams explore every avenue and opportunity to settle out of court and negotiate to reduce penalties. We’re committed to looking out for your best interests.