The IRS handles millions of tax returns that have nothing to do criminal tax charges. How does the agency decide, then, which cases to refer for criminal tax fraud prosecution? The answer affects many taxpayers in Texas and across the nation. After all, a criminal investigation raises the ante immeasurably […]
Category: Tax Crimes
Not exactly, but under certain circumstances you might! Online role playing games, made famous by games such as World of Warcraft (WoW), are a great example of the growing trend of virtual economies and virtual currencies. The relationship between the virtual economies and the actual economy and what is taxable […]
Is the IRS reading your e-mail? The IRS says it is not. Yesterday the acting commissioner of the IRS denied allegations that his agency gains access to taxpayers’ e-mail messages without obtaining search warrants. In Texas and throughout the nation, taxpayers are naturally concerned about the IRS gaining too much […]
In basketball, it’s difficult for virtually any player when the other team puts two defenders on them. Even stars like the Dallas Mavericks’ Dirk Nowitzki find such match-ups challenging and need help from teammates. Now let’s apply this analogy to tax law. If the U.S. government suspects you of tax […]
As tax season gets underway, concerns about possible delays in tax refunds remain. One reasons for this is the late date of the fiscal-cliff deal, which caused the IRS to delay until last week the date when it will begin processing tax returns. But the concerns about refund delays go […]
Tax evasion charges often come in connection with charges of other financial crimes. In a recent Texas case, authorities alleged that an electrician submitted fraudulent invoices to overbill the Beaumont school district. Prosecutors also charged the man with failing to pay federal income taxes. The overbilling accusations were for a […]
The tax system is ultimately based on trust. To be sure, the IRS is often aggressive in auditing and investigating taxpayers for failure to file taxes or for alleged errors. So are revenue agents in Texas and other states. For the most part, however, the government depends on voluntary compliance […]
The term “tax shelter” is sometimes used pejoratively to refer to improper attempts to avoid tax. Such statements fail to make the crucial distinction between tax avoidance, on the one hand, and tax evasion on the other. Tax avoidance is perfectly legal. After all, few people want to pay more […]
It isn’t only tax fraud that can result in criminal tax charges. Failure to file an income tax return at all can do so as well. From time to time, the defendants in such cases are high-profile people. A recent example is the actor Wesley Snipes, star of “White Men […]
On a national scale, the numbers on suspected tax fraud get a bit mind-boggling. Last year, the IRS said it identified about two million such cases. Is criminal tax fraud really that common? Or does the IRS use fraud detection systems that are overly sensitive? The high number of cases […]