IRS Prosecutions Spike in April for Tax Fraud
On behalf of Fausone Bohn, LLP on Tuesday, April 14, 2015.
Mark J. Mandell, Esq.
That start of the month may be April Fool’s Day, but there is no joking around this month for the IRS. In an attempt to flex their muscle, IRS prosecutions spike during the tax season as a not-so-gentle reminder that there can be a big price to pay for tax fraud and tax evasion.
A recent analysis by Syracuse University researchers show that the ten year average for IRS criminal prosecutions is significantly higher in April than any other month of year. Also, the month of March is the second highest month. Last year, the number of prosecutions was higher than the ten year average for most months, but especially for April.
It’s very likely that this peak is a result of the IRS’s desire to remind people and businesses of their responsibility under tax law.
Prosecutors will levy a number of criminal charges in one case, such as money laundering, mail fraud, bank fraud, etc. However, one charge must be selected as the “lead charge.” The top choices for lead charges were: (1) Fraud and false statements, and (2) conspiracy to defraud the Government claims.
Very few taxpayers – about 2% – are ever investigated for tax fraud. However, if you are under investigation, you have a 20% chance of facing criminal charges and/or a civil fines.
Whatever your case, it is important to present a zealous defense. As a former prosecutor, I have experience with the strategies the government will use against you and I know what weaknesses to look for. You don’t want to go up against the Tax Man without aggressive representation.
To learn more about the April peak in IRS Criminal Prosecutions, see Bloomberg Business News’s recent article: http://www.bloomberg.com/news/articles/2015-04-02/april-is-the-cruelest-month-for-prosecuting-tax-fraud