SAN FRANCISCO TAX CRIME DEFENSE
The Internal Revenue Service (IRS) investigates tax crimes in the United States under three categories: illegal source financial crimes, narcotics-related financial crimes / counter-terrorism financing, and legal source tax crimes. Criminal investigators with the IRS help serve American citizens by examining possible violations of the Internal Revenue Code (IRC).
Close to 2,700 IRS employees are special agents who are devoted to exposing tax-related criminal acts. The IRS carries out thousands of tax-related crime investigations each year with approximately half of the investigations ending in criminal convictions. Many tax crimes are punishable with hefty fines, although 81% of the convicted end up in prison – often for multi-year sentences.
FOREIGN ACCOUNTS & TAX EVASION
Because many tax-related crimes include hiding money from the IRS by way of foreign banks, the IRS is acutely attentive to bank accounts located offshore. Some jurisdictions and countries offer opportunities to American investors where they can store money and avoid being taxed by the IRS. Many of these countries, called tax havens, legislate secrecy laws to allow investors to manage accounts almost anonymously and easily avoid tax payment to the U.S.
EMPLOYMENT TAX CRIME INVESTIGATIONS
The IRS is aware of employment tax crime evasion plots in particular. New sources indicate the U.S. may lose as much as $5 billion to unpaid taxes each year. Because of this, the IRS is aggressive in their attempts to purse criminal convictions in tax evasion and tax fraud related cases.In some cases, a business will try to dodge tax payments by taking income tax out of their employees’ checks but neglect to remit the money to the IRS (called pyramiding). Employers have even paid their employees in cash to evade tax payment. Schemes of this type are detrimental to those who are involved as well as the government. For example, often times employees who are paid in cash lose out on future social security and Medicare benefits. If you have been accused of tax-related crime and are seeking quality legal representation, call the offices of Okabe & Haushalter today.