Rafael “the Magician” Alvarez recently pleaded guilty of tax fraud, demonstrating to observers how serious the case is. It sets a strong example for taxpayers who want to be diligent about their tax obligations. The evidence and penalties involved in Alvarez’s case...
Criminal Tax Issues
3 things to know about whistleblowers and tax audits
Businesses that face whistleblower claims can find themselves facing huge financial losses. These claims generally involve a former employee or contractor who discloses information that they believe the government could use to build a case against the business for a...
IRS Dirty Dozen: Are You at Risk?
For more than twenty years, the Internal Revenue Service (IRS) has released a list of top tax issues for the year in an effort to help keep taxpayers from falling victim to potential scams. This year, one of the top scams the agency is calling involves promotors...
IRS Will Deny Thousands of ERC Claims
The Internal Revenue Service (IRS) has made it clear that it is coming after anyone that took advantage of the Employee Retention Credit (ERC) during and after the COVID-19 pandemic. Although their goal is noble — to make sure tax cheats are not bilking the system —...
IRS and the biggest tax evasion case ever
The federal government recently accused a Texas entrepreneur of over $2 billion in tax evasion. The case, if successful, will mark the biggest tax evasion case against a U.S. citizen in the country’s history. The government has a 39-count indictment against the...
Tax Savings or Crime? How to Tell
It is not uncommon for the allure of aggressive tax strategies to lead well-intentioned taxpayers astray. For high net-worth individuals and small business owners, the line between legitimate tax savings and illicit tax evasion can sometimes seem blurred. Here are...
Lessons from New York Tax Crackdowns
New York officials continue to crackdown on allegations of tax fraud. In one recent example, New York authorities sentenced a local restaurateur to two years imprisonment for tax evasion. The authorities claim that the businessman diverted profits for personal use and...
Lottery winning and tax fraud: Can I go to prison if I don’t report?
It is easy to see winning the lottery or leaving a weekend in Vegas with a bit of extra change in your pocket as extra cash. We may dream of using the money to splurge, to buy something we wouldn’t normally consider purchasing, but it is wise to take a moment to think...
Celebrity Tax Evasion: Four Notable Examples
The Internal Revenue Service (IRS) and local state taxing authorities can claim many high-profile cases. These federal and state agencies will go after taxpayers who have not met their obligations, ranging from the regular guy next door to mega-stars. These cases...
Tax return professionals and errors: Can I go to prison?
The federal government expects those who hold themselves out as professionals to act as such. When it comes to tax return professionals, this can mean that the feds will aggressively pursue allegations of poor filing practices. This can quickly escalate into...