Awards & Recognition
In the heart of the nation, Washington, D.C., stands not only as a symbol of democracy but also as a nexus of economic and political activity. The district, renowned for its iconic landmarks and corridors of power, is equally recognized for its burgeoning business environment. From international embassies to innovative startups, the capital city is a melting pot of entities that collectively drive its economic pulse. Amidst this dynamic backdrop, the need for meticulous adherence to federal tax laws becomes paramount. Any unintentional or deliberate oversight can cast a long shadow, potentially leading to significant legal and financial consequences.
The Lifeline for Federal Voluntary Disclosures in Washington, D.C.
Amidst the capital’s rapid economic evolution, the IRS Voluntary Disclosure Practice offers a crucial lifeline. For taxpayers who may have inadvertently missed their complete federal tax compliance obligations or made intentional discrepancies, the voluntary disclosure practice provides a pathway to rectify these errors. It not only softens the potential civil penalties but crucially eliminates the risk of criminal tax prosecution, ensuring that entities and individuals can continue their endeavors with renewed confidence.
Decoding the Intricacies of the U.S. Tax Code
For many in Washington, D.C., the U.S. Tax Code, with its myriad provisions and stipulations, can seem like an impossible challenge. Its complexity often demands an in-depth grasp of associated federal case law, IRS guidelines, and other authoritative references. While expert advice from tax professionals can guide the way, the ultimate responsibility for any willful inaccuracies or omissions in tax filings rests squarely on the taxpayer’s shoulders. In a city where every move is under the lens, ensuring full compliance is not just a legal obligation but a strategic imperative.
Maybe you’re an individual dealing with an IRS audit or a business owner wrestling with interstate tax disputes with California. Either way, these situations can become complex fast. That’s why having a skilled Washington, D.C., dual-licensed Voluntary Disclosure Attorney and CPA is paramount.
David W Klasing: Your Guide to Domestic and Offshore Voluntary Disclosures
The Tax Law Office of David W. Klasing, a boutique tax law firm, is thrilled to announce the opening of a new satellite office in Washington, D.C. Our award-winning, nationally recognized team of dual-licensed Tax Attorneys and CPAs brings over three decades of collective experience in tax and business law. With a diverse professional background, we are well-positioned to assist individuals and businesses with even the most intricate federal tax issues. Our award-winning, nationally recognized team of dual-licensed Tax Attorneys and CPAs brings over 30 years of collective experience in tax and business law. With a diverse professional background, we are well-positioned to assist individuals and businesses with even the most intricate federal tax issues.
This firm is not merely a feature in the capital’s extensive legal landscape; it is a nucleus of profound tax understanding, led by the nationally acknowledged dual-licensed Tax Attorney and CPA, David W. Klasing. With an unblemished A+ rating from the Better Business Bureau and a perfect 10.0 AVVO score, David W. Klasing epitomizes unwavering dedication to providing exceptional representation in Federal Voluntary Disclosures, as evidenced by our long winning record.
In a country abundant with legal and financial experts, only an estimated 24,000 individuals can claim the honor of dual licensure as simultaneously an Attorney and CPA. Within this esteemed group, an even smaller elite group, estimated at a mere 3,000, has earned a Master’s in Taxation. David W. Klasing, a prominent figure among these elite professionals, leverages his unparalleled academic and nearly three decades of hands-on federal tax compliance and controversy experience to fervently assist clients navigating through the treacherous waters of federal tax litigation in Washington, D.C. & beyond.
We routinely and successfully use voluntary disclosures to head off potential criminal tax exposure with the IRS by essentially admitting our client’s prior mistakes and offering to fix them, and that has always been enough to avoid criminal sanctions and limit the penalties the IRS could assess outside of the program to the program penalty terms. If the IRS has already started an audit or criminal tax investigation, been alerted to your errors by a third party, or filed a subpoena for non-compliance, it may be too late to file a voluntary disclosure. In that case, contacting our dually licensed Criminal Tax Defense Lawyers & CPAs would be wise.
We will take immediate action to assess, then correct, your tax compliance record, negotiate/cooperate with the IRS, and attempt to mitigate your criminal tax exposure in dealing with a Standard Civil Audit, Eggshell Audit, Reverse Eggshell Audit, or Criminal Tax Investigation. Contact us today to determine your best course of action to return to tax compliance and avoid facing criminal prosecution.
Positioned in the vibrant heart of Washington, D.C., the Tax Law Offices of David W. Klasing’s local satellite office offers an all-encompassing approach to federal tax litigation, seamlessly integrating legal and federal tax services. Acknowledging the swift and dynamic pace of the capital, we have instituted a flexible scheduling system for our client’s convenience. This system allows clients to arrange a four-hour flat fee meeting across any satellite location. It would need to be preceded by a one-hour phone or encrypted GoToMeeting to warrant travel to ensure we are a good fit before committing to the journey. David W. Klasing himself will make the trip to these offices to provide a personalized and direct consultation without the burden of additional travel costs. Access to our services is as easy as a call to 800-681-1295 or clicking the following link to schedule an online reduced-rate initial appointment, and we will be there to address your federal tax concerns.
Addressing Criminal Tax Exposure in Washington, D.C.
In the heart of the nation’s capital, Washington, D.C., where federal tax regulations and compliance are paramount, taxpayers may grapple with the repercussions of filing fraudulent or non-compliant federal tax returns. The looming threat of criminal tax prosecution can be daunting. However, pathways exist to rectify past discrepancies and regain compliance while minimizing the risk of criminal tax prosecution.
Options for Rectifying Federal Tax Discrepancies
Amended Tax Returns: This involves revisiting and correcting previously filed tax returns. For federal adjustments, taxpayers would use Form 1040-X. While this seems straightforward, there’s a catch. The federal tax authorities can sometimes perceive amended returns as a potential criminal tax admission rather than a genuine effort to correct an oversight.
Voluntary Disclosure: IRS Criminal Investigation (CI) has quietly offered the Voluntary Disclosure Practice. CI takes timely, accurate, and comprehensive voluntary disclosures into consideration when deciding whether or not to recommend criminal tax prosecution. Although a voluntary disclosure won’t automatically grant immunity from criminal tax prosecution, if the terms of the program are met, it offers a nearly guaranteed pass on criminal tax prosecution.
Voluntary disclosure to the CI must be done truthfully, appropriately, and comprehensively. Furthermore, you must:
- Make suitable good faith arrangements with the IRS to pay the tax, interest, and any applicable penalties you owe;
- Work with the IRS to determine your accurate tax liability;
For a voluntary disclosure to be timely, it must be received before:
- The IRS has started a criminal tax investigation or civil tax audit;
- Acquired knowledge from a third party (e.g., informant, other governmental agency, John Doe summons, etc.) notifying the IRS of your violation; and
- Gathered data from a criminal tax enforcement action relevant to your non-compliance (e.g., search warrant, grand jury subpoena, etc.).
Types of Voluntary Disclosure:
Washington, D.C. taxpayers with a history of undisclosed income, overstated deductions, or credits claimed falsely have the option of Domestic Voluntary Disclosure. This method calls for collaboration with the IRS to amend six years of past federal tax oversights.
Quiet Disclosure: An unofficial route, Quiet Disclosure, involves the taxpayer amending and re-submitting their returns. While this process includes settling any due taxes, accrued interest, and self-assessed penalties, it doesn’t offer immunity/amnesty from potential severe penalties, including criminal tax charges, if the IRS identifies willful misconduct. Our dual-licensed Attorneys and CPAs generally advise this course of action only when the inaccuracies on your return are minor and unintentional because the amended returns themselves can be viewed as a criminal tax admission.
Noisy Disclosure: In more complex or delicate federal tax cases, our team might suggest a “Noisy Disclosure.” This method is recommended when a substantial amount of additional tax is due, a risk of disqualification exists, or an explicit assurance from the IRS is desired. A noisy disclosure typically involves filing Form 14457 or the Voluntary Disclosure Practice Preclearance Request and Application. The initial step requires taxpayers to provide basic information about their non-compliance. If the IRS grants preclearance, taxpayers proceed to complete a detailed Voluntary Disclosure, which demands a narrative account of non-compliance and the disclosure of any professional advisors involved.
Note: If you want to secure a nearly guaranteed pass on criminal tax prosecution as you get back into tax compliance, voluntary disclosure is the only option.
Distinguishing Between Amended Returns and Voluntary Disclosure
Amended tax returns are essentially corrections to previous filings. They’re helpful for:
- Rectifying errors that led to overpayment, allowing taxpayers to reclaim excess amounts;
- Updating tax records can be beneficial in case of future audits.
However, they come with risks. For instance, if the IRS detects patterns of underpayment followed by corrections, it might trigger an audit. Moreover, filing an amended return restarts the three-year statute of limitations for IRS tax audits.
On the other hand, Voluntary Disclosure is grounded in the U.S. tax system’s principle of voluntary compliance. It’s a powerful tool that:
- Differentiates between honest mistakes and intentional misreporting;
- Shields taxpayers from potential criminal tax prosecution, provided they adhere to the program’s guidelines;
- Requires taxpayers to admit past fraudulent actions but offers protection against criminal prosecution.
The Implications of Choosing Either Path: If the IRS deems taxpayers’ actions negligent based on their original or amended returns, they could face a 20% negligence penalty on any additional self-assessed tax. Worse, taxpayers could face a 75% civil fraud penalty or exponentially severe criminal tax prosecution if the IRS suspects criminal intent.
Why Should I Opt for Voluntary Disclosure in Washington, D.C.?
The voluntary disclosure program is a testament to the taxpayer’s commitment to rectify past mistakes. It’s a proactive approach, signaling the IRS of one’s intent to correct intentional tax fraud. Over the years, this program has proven effective in shielding taxpayers from criminal tax prosecution, provided they adhere to its guidelines. However, there are caveats. If the IRS has initiated an audit, received tip-offs about discrepancies, or there’s evidence of intentional non-compliance, the window for voluntary disclosure might close. Consulting with a seasoned Washington, D.C., dual-licensed Voluntary Disclosure Tax Attorney is crucial in such scenarios.
The IRS’s stance is clear. While the voluntary disclosure program is designed to allow taxpayers to admit mistakes and settle their dues, amended tax returns are often seen as a covert attempt to rectify intentional discrepancies. The key is to understand the implications of each choice. For instance, amended returns resulting in significant tax changes can raise red flags, potentially leading to audits or criminal tax investigations.
As long as a taxpayer that has willfully committed tax avoidance (potentially including non-filed foreign information returns coupled with affirmative evasion of U.S. income tax on offshore income) self-reports the tax non-compliance through a domestic or offshore voluntary disclosure before 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.
At the Tax Law Offices of David W. Klasing, we safeguard your interests under the Attorney-Client Privilege and Work Product Privileges. This protection prevents your representative from being compelled to testify against you, especially if they did not prepare the returns that need to be amended. Additionally, only an attorney can legally initiate a noisy voluntary disclosure, thereby avoiding the unauthorized practice of law—a crime in itself. Our seasoned dual-licensed Attorneys and CPAs fully grasp the potential risks and rewards of voluntary disclosures. We ensure optimal protection even if you’re ineligible for voluntary disclosure.
Our team comprises uniquely qualified and extensively experienced Criminal Tax Defense Tax Attorneys & Kovel CPAs. We provide a comprehensive solution that protects your liberty and net worth while efficiently achieving optimal and predictable outcomes. Our client testimonials are evidence of our commitment to assisting clients through the maze of tax compliance.
David’s proven proficiency is now available in Washington, D.C, at our appointment-only satellite office, providing both legal and tax services in one place—at a single hourly billing rate. We have just introduced a flexible scheduling option where clients can reserve a four-hour slot at any of our satellite locations. David W. Klasing will travel to any of our satellite offices to meet with you. We have designed this service to benefit our clients, with no additional travel expenses added to your bill. Call us at 800-681-1295 or complete our online contact form today.
In addition to our fully staffed 19,700 square foot penthouse 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, Sacramento, Las Vegas, Nevada; Salt Lake City, Utah; Phoenix, Arizona, Albuquerque, New Mexico. We also have virtual offices in New York, New York; Austin, Texas; and Miami, Florida.
Our Washington, D.C. (Virtual) office is conveniently located at:
1200 G Street, NW, #800, Washington, D.C. 20005
1 (202) 918-9329
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