Tax fraud is a common charge that can be the result of a genuine mistake in reporting tax information to the Internal Revenue Service. Tax-related offenses are some of the most frequently occurring white collar crimes, affecting both prominent business professionals and average working Americans. Underreporting income, failing to file taxes, or overstating deductions can be grounds for IRS audits. Penalties for mistakes on taxes are often monetary and involve only the IRS. When federal charges are involved, fines and criminal penalties can be greatly intensified.
Consequences of Fraudulent Tax Reporting
If the IRS finds reasonable cause to further prosecute someone for deliberately falsifying their tax report, they can and often will heavily investigate in order to gain a criminal, federal conviction. The IRS has an extremely high and successful sentencing rate in a majority of cases brought to court. These convictions are extremely serious and commonly result in felony charges that can cause debilitating financial repercussions and irreparable damage to your professional image. Because tax fraud is a direct evasion or misrepresentation against the federal government, penalties can also be intensified by prison sentences.