According to a Department of Justice press release, a New York City businessman recently pleaded guilty to tax evasion after being investigated for failing to file tax returns for several years. This story illustrates the importance of taking the initiative to catch up on unfiled tax returns before the IRS opens their own investigation. If you have failed to file a tax return for one or more years, it is in your best interest to contact an experienced tax defense attorney today to help bring you into compliance.
See our Non-Filer Q and A Library
Court documents reveal that Dean Britton, a New York City real estate industry expert earned substantial income by helping negotiate high-value commercial ground leases. The IRS contacted Britton after he failed to file individual tax returns from 2013 through 2017. After the IRS contacted Britton, he filed delinquent tax returns for the missing years but failed to pay any of the tax due associated with those tax returns. Instead, the IRS discovered that Britton took steps to conceal his assets and income.
To evade the payment of taxes, Britton transferred the title of his residence to a nominee entity and used business bank accounts to pay for personal expenses. Additionally, Britton had income redirected into newly created bank accounts to avoid the levies put into place by the IRS. During the years that the IRS was attempting to collect his tax debt, Britton spent substantial amounts on luxury purchases, such as real estate, home rentals, travel, country club dues, and private school tuition.
See our Tax Relief and Resolution Q and A Library
See our Offer in Compromise Q and A Library
See our Liens Levys and Garnishments Q and A Library
Britton is scheduled to be sentenced in November. He faces a maximum sentence of five years in federal prison. Additionally, Britton will likely be sentenced to serve a period of supervised release and will likely be ordered to pay restitution to the IRS.
Although the IRS taxes the failure to file tax returns and pay the underlying tax seriously, there are various programs and strategies available to taxpayers who have fallen behind on their payments to catch up. Working with an experienced tax defense attorney, you will layout the particular facts and circumstances of your case and determine which method of coming into compliance fits your needs.
Many taxpayers believe that they are but a small fish in a large pond. Many others who fail to file one or more tax returns believe that it is too difficult to get caught up. But those propositions are simply myths. Nonetheless, one truth is constant: coming forward and getting right with the government generally provides a better outcome when compared to waiting until the government contacts you with an enforcement action or criminal tax investigation.
Regardless of your business or estate needs, the professionals at the Tax Law Offices of David W. Klasing are here for you. We are open for business and our team will help ensure that your business is too. Contact the Law Offices of David W. Klasing today to discuss your business with one of our professionals.
In addition to our main office in Irvine, the Tax Law Offices of David W. Klasing has unstaffed (conference room only) satellite offices in Los Angeles, San Bernardino, Santa Barbara, Panorama City, Oxnard, San Diego, Bakersfield, San Jose, San Francisco, Oakland, Carlsbad and Sacramento. During the COVID-19 pandemic, our staff are working from home, but have full virtual meeting capability.
Our office technology allows clients to meet virtually via GoToMeeting. With end-to-end encryption, strong passwords, and top-rated reliability, no one is messing with your meeting. To schedule a reduced-rate initial consultation via GoToMeeting follow this link. Call our office and request a GoToMeeting if you are an existing client.