According to a Department of Justice press release, a North Carolina tax professional recently pleaded guilty to conspiring to defraud the United States. As we move into tax compliance season, it is important to remember that fraudulent tax minimization efforts such as understating income, inflating business expenses, or falsely claiming credits can constitute a criminal offense and can result in a prosecution and a federal or state prison sentence. If you have failed to file a tax return for one or more years or have taken a position on a filed tax return that could not be supported during an audit, eggshell audit, reverse egg shell audit or criminal tax examination, you should contact an experienced criminal tax defense attorney as soon as possible to determine the best steps to get right with the government.
Court records reveal that Hildares Kinkesha Parker-Greene was a tax return preparer in the Kinston, North Carolina area. Between January and March of 2016, Parker-Greene assisted taxpayers prepare their returns. Operating out of her home with a co-conspirator, she prepared returns claiming fraudulent items of wages and withheld taxes. Additionally, she helped clients claim phony dependents. During her mere three months of illegal activity, she caused a tax loss of more than $550,000.
Parker-Green will be sentenced later. She faces up to five years in federal prison for conspiring to defraud the United States. Additionally, she will likely be ordered to serve a period of supervised release upon the completion of her physical incarceration. Lastly, Parker-Greene will likely be ordered to pay restitution to the IRS representing the tax loss that she caused.
Many Americans view the tax compliance process as an opportunity to slip small inaccuracies by the IRS. It is a common belief that, because the IRS deals with so many tax returns, there is no way that they can catch every taxpayer who understates their income or inflates business expenses. But the reality is that the IRS has leveraged technology that helps revenue agents home in on those tax returns that show “badges of fraud”. The IRS data analytics capabilities allow its software to analyze returns for potential fraud that may not be picked up by a manual review by a revenue agent. A recent hiring spree by the IRS clearly evidences the agency’s desire to ramp up enforcement efforts across the country.
If you have failed to file a tax return for one or more years or have taken a position on a tax return that could not be supported upon an IRS or state tax audit, it is in your best interest to contact an experienced tax defense attorney. Together, you will gather the relevant facts pertaining to your case. Then, you will jointly decide the best course of action to bring you into compliance with the government. Throughout the process, you will always be represented by your seasoned tax lawyer. Thus, you will never need to go up against the IRS alone.
Note: As long as a taxpayer that has willfully committed tax crimes (potentially including non-filed foreign information returns coupled with affirmative evasion of U.S. income tax on offshore income) self-reports the tax fraud (including a pattern of non-filed returns) through a domestic or offshore voluntary disclosurebefore the IRS has started an audit or criminal tax investigation / prosecution, the taxpayer can ordinarily be successfully brought back into tax compliance and receive a nearly guaranteed pass on criminal tax prosecution and simultaneously often receive a break on the civil penalties that would otherwise apply.
It is imperative that you hire an experienced and reputable criminal tax defense attorney to take you through the voluntary disclosure process. Only an Attorney has the Attorney Client Privilege and Work Product Privileges that will prevent the very professional that you hire from being potentially being forced to become a witness against you, especially where they prepared the returns that need to be amended, in a subsequent criminal tax audit, investigation or prosecution.
Moreover, only an Attorney can enter you into a voluntary disclosure without engaging in the unauthorized practice of law (a crime in itself). Only an Attorney trained in Criminal Tax Defense fully understands the risks and rewards involved in voluntary disclosures and how to protect you if you do not qualify for a voluntary disclosure.
As uniquely qualified and extensively experienced Criminal Tax Defense Tax Attorneys, KovelCPAs and EAs, our firm provides a one stop shop to efficiently achieve the optimal and predictable results that simultaneously protect your liberty and your net worth. See our Testimonials to see what our clients have to say about us!
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.
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