Awards & Recognition
In the vast desert expanse of Las Vegas, it’s not just the gaming tables where you’re required to play by the rules. The Internal Revenue Service (IRS) expects the same level of commitment from every taxpayer in the city when it comes to adhering to federal tax laws.
If you’re a Las Vegas taxpayer and find yourself under the IRS radar for an audit while having undisclosed foreign accounts or unreported offshore assets generating unreported yet taxable income, your pathway to regaining compliance could become significantly challenging. The repercussions of offshore intentional non-compliance can be quite severe, with hefty civil penalties and potential criminal tax consequences looming large.
Las Vegas, known for its vibrant nightlife and bustling casinos, operates under the same tax laws as the rest of the United States. These tax laws operate on a “voluntary compliance” principle. Failing to voluntarily comply can open you up to severe civil and criminal tax consequences from the IRS, including fines, penalties, criminal tax prosecution, restitution and other punitive measures.
However, even in the heart of the Mojave Desert, there’s a lifeline available for taxpayers. If a Las Vegas taxpayer has willfully committed tax fraud, such as not filing foreign information returns or intentionally evading U.S. income tax on offshore income, the route to absolution is possible through a domestic or offshore voluntary disclosure. By self-reporting these discrepancies before the IRS launches an audit or criminal tax investigation, there’s a nearly guaranteed opportunity to return to tax compliance without facing criminal tax prosecution. This approach not only averts potential criminal tax prosecution but also often results in reduced civil penalties. It’s a crucial step for Las Vegas taxpayers caught in such a predicament.
Voluntary Disclosure to the Tax Division
Entities such as partnerships and government entities are encouraged to make voluntary disclosures, even if they suspect the government might already be aware of the misconduct. Though the full range of benefits associated with voluntary disclosure might not always be applicable in every situation, some advantages can be realized, potentially reducing penalties.
Voluntary self-disclosures related to matters under the internal revenue laws should be made to the DOJ Tax Division. Despite a seeming shift from the traditional practice of making disclosures to the IRS, other legal provisions suggest that voluntary disclosures made to the IRS under established practices are still valid and beneficial.
Prompt and Proactive Voluntary Disclosure: The Way Forward
Finding yourself with a long history of intentional non-compliance with tax-related responsibilities can be daunting. However, proactively voluntarily disclosing this information can be a crucial step toward rectification. Revealing oversights or intentional evasion before an audit or criminal tax investigation has begun is an invaluable opportunity to regain compliance and avoid criminal prosecution for tax crimes.
Professional Guidance from the Tax Law Offices of David W. Klasing
At the Tax Law Offices of David W. Klasing, our team of dual-licensed Attorneys and CPAs stand ready to guide you through the complexities of the Voluntary Disclosure Practice. We possess the necessary skills to help you understand the policy’s scope, including the types of entities it covers, and aid you in making informed decisions.
Our team has a wealth of experience assisting clients with incorrect or misleading tax returns, helping them correct these issues through the IRS’s various voluntary disclosure programs. We are committed to bringing you back into tax compliance, protecting you from severe fines and penalties. Additionally, we can help you harness the benefits of voluntary disclosure, even in situations where full benefits might seem unreachable. Our goal is to ensure you achieve compliance by promptly addressing disclosure requirements, thereby virtually eliminating your criminal tax prosecution exposure and providing priceless peace of mind.
Whether you have queries about personal or business tax compliance or federal-level voluntary disclosure programs, the award-winning tax professionals at the Tax Law Office of David W. Klasing are here to offer clarity and guidance. Contact our appointment only Las Vegas office at (800) 681-1295 to click here to schedule a reduced rate initial consultation.
Please be aware:Tax fraud is not subject to a civil statute of limitations, meaning it can be pursued at any time. Tax crimes can ordinarily only be prosecuted within a six-year statute of limitations, but be aware that lying about a tax crime, can constitute the last affirmative act of the crime, which could bring it into an open tax year subjecting it to prosecution even after six years has passed. Said another way, any present-day misconduct, like providing false information to a federal agent concerning a past tax return, can trigger a new six-year statute of limitations. Moreover, it’s important to remember that tax returns are submitted under oath, making any misrepresentation potentially perjurious & lying to a federal agent is felony in its own right.
Why Should I be Concerned About Past Tax Non-Compliance Now?
Even if the IRS hasn’t detected non-compliance issues in your tax filings in the past, the chances they will in the future have been consistently increasing. This can include undisclosed foreign accounts, assets, or unreported domestic or foreign income sources. While you may feel confident that past discrepancies were overlooked, the current climate necessitates that tax compliance becomes a priority. Some multiple scenarios and circumstances could lead to sudden scrutiny, some of which are outlined below:
Divorce Proceedings Reveal Non-compliance Suppose a couple decides to part ways, and a forensic accountant is employed during the divorce proceedings. If this professional unearths tax fraud committed by one spouse, the other could use this information as leverage for a larger settlement. On the public record, in court room threats of exposing the non-compliant party to the IRS can result in a criminal tax investigation as the IRS is known to peruse court records looking for such admissions.
Business Growth Exposes Hidden Finances In another scenario; a burgeoning business discloses a secondary set of books to a potential buyer. The buyer, now privy to the extra information, might threaten to reveal these hidden accounts to the IRS, using this as a bargaining chip for a lower acquisition cost.
State Audit Raises Red Flags A business owner undergoing a state-level audit may fear federal fraudulent activities coming to light.
The above examples illustrate just a few ways previously unnoticed non-compliant behavior could be exposed, potentially leading to criminal tax charges. Several other contributing factors could increase the likelihood of the IRS uncovering such behavior, which include:
Increased International Cooperation The United States has established various agreements to share tax-related information with other countries, facilitating a global approach to tax compliance. Initiatives such as the Foreign Account Tax Compliance Act (FATCA) have significantly bolstered the IRS’s capacity to detect offshore tax evasion. This extended global reach means previously undetected non-compliance is increasingly likely to surface.
Technological ProgressThe IRS continues to leverage advanced data analytics and other technology to detect patterns of non-compliance and potential tax evasion more effectively. Consequently, the IRS’s capability to identify discrepancies in tax filings is more refined than ever, boosting the chances of catching non-compliant behavior.
Whistleblower IncentivesThe IRS whistleblower program incentivizes people with knowledge of tax non-compliance to report it. In some cases, whistleblowers can receive a financial reward if their information leads to tax recovery. This can prompt individuals, like aggrieved employees or business partners, to expose previously undetected non-compliance.
Voluntary Disclosure The policy that encourages entities to disclose intentional tax-related misconduct could increase non-compliance detection among businesses that have yet to come forward.
Given these factors, taxpayers should be acutely aware that the risk of intentional tax non-compliance being discovered is perpetually on the rise. Taking a proactive stance toward tax compliance is advisable to counter this risk and its potential repercussions. In this context, seeking professional advice becomes invaluable.
Here in Las Vegas, a city known for high stakes and fortunes changing hands, ensuring that your tax matters are in order is essential. Tax prosecution is not a gamble you want to take. At the Tax Law Offices of David W. Klasing, our dual-licensed Attorneys and CPAs are uniquely equipped to guide you through the tax compliance process and help you navigate the increasingly globalized and technologically advanced federal tax law landscape. We are committed to helping you rectify any past intentional non-compliance and fortifying your future tax matters. Contact our office at (800) 681-1295 or schedule your consultation online here.
Why Should I Consider Voluntary Disclosure?
Taxpayers in Las Vegas who take the proactive approach of voluntarily disclosing their previous non-compliance with federal tax laws stand to benefit from numerous advantages. Such disclosures offer protection from criminal tax prosecution, provided it is comprehensive, truthful, and legally adequate. The choice to disclose voluntarily must be guided by seasoned tax defense counsel to protect the client’s rights and interests.
Fostering a Culture of Integrity and Trust in Las Vegas
When companies in the vibrant city of Las Vegas willingly take responsibility for their past non-compliance, they manifest a commitment to upholding ethical standards. This action of transparency instills trust among various stakeholders, including employees, customers, investors, and federal regulators.
By disclosing potential misconduct, companies also encourage a culture of accountability. This commitment to ethical behavior motivates employees to act responsibly, potentially enhancing morale and productivity in our world’s entertainment capital.
Controlling the Narrative and Mitigating Risks
Las Vegas companies opting for voluntary self-disclosure can pre-emptively address potential tax compliance issues. This strategy places the narrative in the companies’ hands, allowing them to sidestep the fallout of a federal investigation, protect their reputation, and possibly lessen legal and financial penalties.
Building Strong Business Relationships
Companies in Las Vegas can secure their business relationships through voluntary disclosure. This proactive behavior signals the company’s dedication to ethical business practices, reinforcing respect and trust within the Las Vegas business community.
Demonstrating Effective Compliance Programs
Voluntary self-disclosure allows Las Vegas companies to exhibit the effectiveness of their compliance programs. Actively addressing and revealing misconduct emphasizes the robustness of the company’s internal controls, further boosting its reputation.
Managing Situations Proactively
Choosing to disclose misconduct allows Las Vegas companies to take charge of the situation, empowering them to work towards a resolution in a controlled manner. It helps avoid reactive measures to an externally initiated investigation.
Possibly Reducing Penalties
Given the specific circumstances and the federal regulatory framework, authorities may consider reducing penalties for voluntary self-disclosure.
DOJ’s Tax Division Policy-Based Advantages
Las Vegas companies can also benefit from the DOJ’s Tax Division’s policy-based advantages of voluntary disclosure.
Mitigating Criminal Tax Penalties: This policy allows DOJ Tax, under specific conditions, to opt not to seek an indictment, thereby significantly lowering the risk of imposing a criminal penalty on a corporation.
Potential Fine Reduction: The policy offers the possibility of a reduction in the Guidelines’ recommended acceptable ranges for corporations meeting the policy’s requirements.
Reduced Criminal Penalties and Fines: While corporations cannot be incarcerated, and thus traditional sentencing ranges don’t apply, corporations can still benefit from reduced criminal penalties and fines, contingent on their voluntary disclosure, cooperation, and remediation efforts.
Given these compelling advantages of voluntary disclosure, Las Vegas companies are encouraged to approach federal tax compliance proactively. However, this complex legal procedure necessitates experienced tax counsel. At the Tax Law Offices of David W. Klasing, our dual-licensed Tax Attorneys and CPAs stand ready to guide you through this process. We will help evaluate the potential risks and benefits, assist in full cooperation and appropriate remediation, and ensure compliance with IRS policy. Contact us today to confidently and effectively navigate the voluntary disclosure process.
Why Choose the Tax Law Offices of David W. Klasing?
It’s absolutely crucial to enlist the services of a seasoned, reputable criminal tax defense attorney to guide you effectively through the IRS or DOJ voluntary disclosure processes. Our team comprises experienced Criminal Tax Defense Attorneys & KovelCPAs, offering a comprehensive one-stop solution. We understand the intricacies of voluntary disclosures, the risks and rewards involved, and, most importantly, how to safeguard you if you don’t qualify for a voluntary disclosure.
Importantly, as Attorneys, we offer Attorney Client and Work Product Privileges. This means we are protected from potentially being forced to become witnesses against you, especially when it involves the preparation of returns that need amending in a subsequent criminal tax audit, investigation, or prosecution. Furthermore, as Attorneys, we have the legal jurisdiction to initiate your voluntary disclosure without crossing the bounds into unauthorized law practice.
Choosing us is choosing peace of mind. We work towards achieving optimal and predictable results that simultaneously protect your liberty and your net worth. Our client testimonials are a testament to our unwavering commitment and professional prowess.
If you have neglected to file a tax return for one or more years, or have taken a position on a tax return that might not hold up under an IRS tax authority audit, eggshell audit, reverse eggshell audit, or criminal tax investigation, it’s crucial to seek an experienced tax defense attorney. Contact us today to determine your best course of action to return to tax compliance and avoid facing criminal prosecution.
What About Travel and Scheduling Convenience?
We are flexible and adapt to your needs. David W. Klasing, an instrument-rated private pilot, can use his Cirrus SR22 to travel for client meetings, eliminating additional travel expenses for you. We are also introducing a new half-day scheduling option. You can hire us for a four-hour slot, during which David W. Klasing will personally travel to any of our satellite offices without extra travel charges.
Contact us today. You can reach us by completing our contact form. If you encounter any difficulties during the online booking process, please do not hesitate to contact our office immediately at (800) 681-1295. We are here to assist you promptly and efficiently.
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