Federal Tax Evasion Savannah GA

Tax evasion happens when a person or company intentionally avoids paying taxes or has underpaid taxes. If a person commits fraud when dealing with taxes, this also can be considered evasion. Carelessness and mistakes are not considered evasion. Evasion is defined by purposely trying to underpay or avoid paying taxes.

federal tax evasion

Examples of Tax Fraud or Evasion

  • Claiming false exemptions or deductions
  • Placing assets in another person’s name
  • Failing to report all of your taxable income
  • Falsifying financial reports
  • Using false Social Security numbers

Civil and Criminal Tax Fraud 

People who commit tax evasion may face civil and criminal charges. In order for a person to be convicted of civil charges, the government has to be able to prove that fraud was committed. People who have civil charges will have to pay additional fees and interest on top of what they already owe.

The consequences of criminal charges are more severe. The government also has to be able to prove that fraud was committed. People who have criminal charges may be charged with a felony. They may also have to spend time in prison. Criminal charges for tax fraud are less common.

Defenses That Can Be Used

Even though tax fraud is a crime, there are a variety of defenses that can be used. The following can be used as defenses:

Insufficient Evidence

The prosecutors have to be able to prove that you deliberately tried to avoid paying taxes. If you failed to pay taxes because you forgot to file a tax return, then you may not be charged with fraud. A person may not be charged with tax fraud if the IRS may have made a mistake.

Statute of Limitations

There is a Statute of Limitations that applies. The IRS will not be able to bring any charges against you if a certain amount of time has passed. In most cases, the IRS will not be able to file any charges after six years.

Entrapment

This is occurs when the government tricks a person into committing a crime that they would not otherwise committed. However, this defense cannot be used solely because the government provided the opportunity.

Mistake

There are stipulations that are placed on this defense. For example, you may be able to use this defense if you did not know when your taxes were due. You may also be able to use this defense if you did not know what needs to be reported. However, you cannot use this defense simply because you did not know that you had to pay taxes.

Insanity

The defense has to be able to prove that you were insane at the time during the time the taxes were due. You may also be able to use this defense if you are insane during trial.

Intentional Conduct

The government has to be able to prove that you knew the consequences of not paying your taxes, and you still did not pay them.

Next Steps

Do not deal with tax fraud on your own. You will need the help of an attorney if you are facing tax fraud charges. Your attorney will ensure that all of your rights are protected.

If you are being pursued for tax evasion or tax fraud, you will need a lawyer on your side.  Begin your defense by calling Tate Law Group at (912) 234-3030.