Federal Tax Fraud Lawyer in Austin, TX

Have You Been Arrested for Tax Fraud?

Tax fraud involves deliberately falsifying financial information to evade federal tax responsibilities. It's a serious offense, carrying heavy penalties including fines and potential imprisonment. 

When facing allegations of tax fraud, it is essential to take proactive steps by contacting a federal tax fraud attorney. While the stakes are high, you don't have to face this challenging period on your own. Cofer & Connelly, PLLC, has a track record of assisting numerous clients in the state of Texas in resolving serious criminal charges to their advantage, and our objective is to achieve the same outcome for you.

To arrange a consultation with a tax fraud lawyer, simply get in touch with Cofer & Connelly, PLLC, by calling (512) 991-0576 or contacting us online.

What Is Considered Federal Tax Fraud?

Under 26 USC § 7206, tax fraud encompasses many types of deceptive activities aimed at defrauding the Internal Revenue Service (IRS). The law outlines several specific actions, each constituting a form of tax fraud if undertaken willfully and with the intent to deceive or defraud the federal government.

Submitting a False Tax Return

First, if you sign and submit any tax-related document, such as a tax return, knowing that it contains false statements or claims, you are engaging in tax fraud. This is not a mere oversight but involves a conscious decision to present incorrect information as true, especially when these documents are declared under penalty of perjury. It’s the deliberate act of asserting falsehoods in official documents that you are legally affirming to be correct that forms the basis of this violation.

Assisting With a Fraudulent Tax Return

Additionally, tax fraud is committed when someone knowingly aids, assists, or advises in the preparation or presentation of a fraudulent tax document. This means if you are involved in counseling or helping someone to prepare or file a document that you know includes incorrect details, you are also culpable. The law holds you accountable whether or not the person submitting the document is aware of the misinformation it contains.

Fabricating Documents

Creating or using false documents is another type of tax fraud. This involves fabricating official documents like bonds, permits, or other papers that are related to tax-related procedures. The fraudulent activity here can range from forging signatures to creating entire documents, all with the intention of misleading the IRS or evading rightful taxes.

Concealing Assets

A more covert form of tax fraud is the act of concealing or transferring assets to dodge tax obligations. If you hide or move goods, money, or other items with the objective of escaping tax liabilities, you are violating tax law. This applies to assets over which the IRS has established a right to levy due to unpaid taxes.

Other Forms of Tax Fraud

Lastly, in the context of compromises and closing agreements with the IRS, any deceptive practices are considered tax fraud. This includes hiding assets, fabricating documents, or making false statements during negotiations or settlements with the IRS aimed at resolving tax debts.

For the prosecution to successfully convict you of tax fraud, it must establish, without a shadow of a doubt, that your actions were willful and intentional – not careless. The prosecution has to present evidence that unmistakably points to your intention to commit fraud. This evidence can be direct, such as explicit actions or statements made by you, or it can be circumstantial, inferring your intent from the pattern of your behavior. Either way, the evidence must collectively be strong enough to eliminate any reasonable doubt about your intent and actions concerning the alleged tax fraud.

What Are the Penalties for Federal Tax Fraud?

The penalty for federal tax fraud is a fine of up to $100,000 ($500,000 for corporations) or imprisonment for up to three years, or both. Additionally, convicted persons are required to pay the cost of prosecution.