We frequently represent taxpayers and accountants in criminal tax matters, and whether in Stamford, Connecticut or elsewhere, the Department of Justice and IRS have both historically regarded Tax Evasion as the most important criminal tax statute. It is also the criminal tax statute with the greatest impact for deterrence.
Under IRC § 7201, Tax Evasion has three elements:
2. The existence of a tax deficiency
3. An affirmative act constituting evasion or an attempted evasion of tax
The definition of willfulness is the “violation of a known legal duty.” The willfulness test is a subjective one, and what I have seen is that the government generally shows willfulness in Tax Crimes by activities of the defendant that, though they themselves may not be illegal, lend credence to the argument that the taxpayer was involved in more nefarious conduct. These activities may include dealing in cash, setting up and closing many various bank accounts, or foreign accounts, etc.
A tax deficiency is generally defined as a tax due and owing. For an affirmative act of tax evasion, often the filing of a false return will suffice for the government, although the government may use other conduct of the taxpayer. In fact, the government has managed to obtain convictions for taxpayers under IRC § 7201 Tax Evasion where the taxpayer never filed a return, but rather made efforts to evade the tax.
If you have questions and would like to speak with me about tax crimes in general or tax evasion in Stamford, CT in particular, please feel free to contact me directly at (203) 602-5550 or at email@example.com.
Eric L. Green, Esq.
Convicer, Percy & Green, LLP
60 Long Ridge Road
Stamford, CT 06902
Ph. (203) 602-5550
Fax (203) 286-1311