Federal tax evasion allegations are serious accusations that can lead to prison sentences, steep fines, and significant reputational damage. Whether the charges stem from unreported income, fraudulent deductions, or other alleged violations, building a strong defense is critical. At LibertyBell Law Group, we specialize in defending clients against tax crimes and helping them navigate these complex legal challenges.
What Is Tax Evasion?
Tax evasion involves intentionally avoiding the payment of taxes owed to the federal government. Common examples include:
- Failing to report all sources of income
- Claiming false deductions or exemptions
- Understating income on tax returns
- Hiding assets or income offshore
- Failing to file a tax return altogether
Tax evasion is investigated by the IRS Criminal Investigation Division (CID) and is often prosecuted under federal statutes like the Internal Revenue Code.
Learn more about our expertise in defending tax-related crimes.
Consequences of a Tax Evasion Conviction
Convictions for tax evasion carry severe penalties, including:
- Prison Time: Up to five years for each count of tax evasion.
- Fines: Financial penalties of up to $250,000 for individuals and $500,000 for corporations.
- Restitution: Court-ordered repayment of back taxes, interest, and penalties.
- Reputational Damage: A criminal record that can affect employment and financial opportunities.
Additionally, tax evasion cases often involve asset forfeiture and restrictions on future financial transactions.
Defending Against Tax Evasion Charges
At LibertyBell Law Group, we develop tailored defense strategies based on the unique circumstances of each case. Common approaches include:
1. Demonstrating Lack of Intent
Proving intent is a cornerstone of a tax evasion case. If we can show that errors were unintentional—such as mistakes by a tax preparer or misunderstanding of tax laws—the charges may not stand.
2. Challenging the Evidence
Tax evasion cases often rely on extensive documentation and financial records. We meticulously review this evidence for inaccuracies, procedural errors, or gaps that weaken the prosecution’s case.
3. Negotiating Settlements
In some cases, negotiating with the IRS to settle the dispute through back payments or civil penalties can prevent a criminal trial and mitigate potential consequences.
4. Proving Financial Hardship
If the failure to pay taxes was due to genuine financial difficulties, we can present this as a mitigating factor to reduce penalties or avoid prosecution.
Contact us today to discuss your tax evasion defense.
Case Study: Clearing Tax Evasion Allegations
One of our clients, a small business owner, was accused of underreporting income over several years. The IRS alleged that the client owed over $1 million in back taxes and penalties. By conducting a detailed review of the client’s financial records, we demonstrated that the discrepancies were the result of bookkeeping errors and poor advice from a previous accountant. The case was resolved with a civil penalty, avoiding criminal charges entirely.
This case highlights the importance of thorough investigation and skilled negotiation in tax crime defense.
What to Do If You’re Accused of Tax Evasion
If you’re facing allegations of tax evasion, take these steps immediately:
- Do Not Speak to Investigators: Anything you say to IRS agents can be used against you. Consult an attorney before making any statements.
- Organize Your Records: Gather relevant financial documents, tax returns, and correspondence to assist in building your defense.
- Hire an Experienced Attorney: Engage a lawyer with expertise in federal tax crimes to protect your rights and guide your case.
Why Choose LibertyBell Law Group?
At LibertyBell Law Group, we provide aggressive, results-driven representation for clients facing tax evasion charges. Our team offers:
- Decades of Experience: Successfully defending clients in complex federal tax cases.
- Expert Resources: Access to forensic accountants, financial analysts, and tax specialists.
- Customized Defense Strategies: Tailored approaches designed to achieve the best outcome for your case.
- Proven Results: From dismissals to favorable settlements, we have a track record of success.
Read more about our legal services and case successes.
Conclusion
Facing federal tax evasion charges can be daunting, but with the right legal team, you can build a strong defense and protect your future. At LibertyBell Law Group, we are committed to guiding you through the legal process and fighting for the best possible outcome.
Contact us today at (877) 545-3517 for a free consultation. Let us help you take control of your case and safeguard your future.
