Although most Internal Revenue Service (IRS) investigations are civil matters for which you can be fined, you can also be charged with a crime in some cases. Your case may start as a simple audit, but if IRS agents determine your tax return is problematic, they can call in the Criminal Investigation Division (CID) to delve further into your finances.
These IRS tax evasion investigations in Baltimore can be frightening because CID special agents are well-trained. Unlimited money and resources support them, and once complete, the evidence is turned over to the Department of Justice (DOJ) for prosecution. It is best not to panic or lose hope if this happens, as our tax evasion attorney has spent years defending people in the same situation as yours. You could share your story and seek advice by calling our firm to schedule a case assessment.
Tax evasion is a subset of tax fraud that goes beyond careless mistakes in filing your return. Evasion is charged when the IRS believes you willfully and purposely intend to circumvent paying taxes you lawfully owe. This could mean keeping two sets of business books, hiding assets, funneling cash into numerous bank accounts that are hard to trace, or laundering cash so that it cannot be linked to you.
Generally, unless an unusual circumstance occurs, like a whistleblower, an investigation begins with an audit of your tax return. If inconsistencies are found at this stage, you and your attorney could explain the inconsistencies and correct them, leading to a fine. However, if you are not able to explain them, the CID may become involved to investigate further.
CID agents may visit you at your home or work and request additional financial documents. They will look for warning signs codified in the Internal Revenue Manual under IRM § 25.1.2.3. These can include income you fail to report, overstated deductions, or not filing a tax return in years even though you have a substantial income. CID special agents will recommend whether the DOJ should prosecute you for IRS tax evasion after their initial investigations in Baltimore.
The IRS may notify you that you are under criminal investigation in Baltimore, but agents may not if they wish to collect more evidence for tax evasion without you knowing about it. You may be working with an agent to resolve a civil charge, and suddenly, they stop communicating with you or end the investigation without filing a report. You may hear from a business associate or someone else familiar with your finances that a CID special agent has contacted them about you.
The IRS usually stops at nothing to conduct its tax evasion investigations. If this happens, you need a tax crime lawyer, and our firm is home to the only one in the area.
According to 26 United States Code § 6663, the IRS can levy a penalty for fraudulently underpaying income taxes that equals 75 percent of the underpayment. However, under 26 U.S.C. § 7201, which criminalizes willfully and deliberately engaging in tax evasion, the penalty can include a five-year prison sentence, back taxes with interest, and fines. Our lawyer could work to mitigate these harsh penalties, but you must alert our firm once you are aware of an investigation for IRS tax evasion in Baltimore.
Our lawyer is highly experienced at protecting your rights, defending you against criminal charges, and getting the best outcome by using proven strategies. If the IRS accuses you of tax evasion, we are the only firm in the area with a dedicated specialist who could help you.
Our attorney could gather and assess evidence, talk to witnesses and professionals who could help your case, and negotiate for a suitable solution. IRS tax evasion investigations in Baltimore are serious, and finding the problem that started one is the first step toward regaining your future. Call today.