Although we would like to believe that just the odd few people decide they do not want to pay their taxes to the government, this is not the case as many businesses fall foul of tax laws as well. This is of course against the law and a person of company found attempting this act is committing a crime. The act of flaunting the rules and laws institutionalized for the proper functioning of the government is considered a serious offence. Despite the seriousness, crimes such as tax evasion are often referred to as ‘white collar’ owing to the type of person or company that commits them.
Tax fraud is a general term used to refer to offenses such as tax evasion, non-filing of tax returns, forgery, non-declaration of assets and income, misrepresentation of conditions for the purpose of tax exemption and other such actions related to the payment of taxes. Tax fraud lawyers are specialized attorneys that deal with issues of tax fraud and represent clients who are accused of tax fraud.
Tax fraud lawyers have only one function and are not used for advice on how to plan for future tax commitments. Often people or companies that just suspect the Internal Revenue Service is investigating their tax records will use the services of an attorney prior to any charges being levied. Though the issue is morally wrong, tax fraud lawyers work on ways to negotiate with tax authorities and help their clients legally evade taxes to a limited extent and mitigate their situation with regard to the charge of tax fraud.
Despite the serious nature of tax fraud, it is not always the fault of the person being investigated as ignorance of the laws can be to blame. It is also not unusual for people and companies to fall victim to the poor advice of tax consultants.
Often attorneys will provide proof that their client was the unwilling victim of tax fraud and although still guilty it is usual for the punishment in these circumstances to be more lenient or the charges dropped completely. It is very important to select tax consultants carefully as only those with proper industry certifications and detailed exposure to such cases can help people solve what can be tricky situations with the IRS.
Tax fraud lawyers often put across the point that prosecution and imprisonment will not necessarily recover lost tax revenue but this method should not be relied on to win a case. Often this line of reasoning works if presented by a good lawyer as it means that the offender will still pay any tax that is owed without the financial burden of paying for them to be in prison.