27 Jul 23

Criminal Tax Fraud in the Fourth Degree: NY Tax Law 1803

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Last Updated on: 14th August 2023, 11:42 pm

We have reached the time of year when a lot of people are spending a lot of time thinking about taxes. There are already some forms going out from employers that detail how much an individual earnings throughout the course of the year as well as how much that same person paid in taxes. Those forms are known as a W-2 form and they are incredibly important. If you have yet to receive yours you can expect to receive it soon.

You are probably just a normal taxpayer who is going to do your civil duty and pay the taxes that you correctly owe, but there are some who do not. Those individuals often go to great lengths to cover up the fact that they are not paying what they rightfully owe. They do this because they know that it is a crime in the state of New York and throughout the United States to commit tax fraud.

Defining Tax Fraud

The definition of tax fraud is very broad. It is defined in some jurisdictions as when someone commits an act with the intent to defraud the government of taxes owed or if one attempts to corrupt a politician or other government official for the purposes of evading taxes.

This means that there a lot of things that fall under the umbrella of tax fraud. It is easy to see an individual committing any number of different actions that could potentially land them in some trouble. This is why it is so important to have some understanding of tax fraud law to make sure you are not committing this act.

Different Degrees

The government fully understands that there are different levels of tax fraud as it were. They know that what one person does to commit tax fraud may not be as serious as another. In fact, there are even some who commit this crime completely by accident. Those individuals tend to just be warned by the IRS of the incorrect actions that they have taken and are then offered a compromise to amend the situation.

When the IRS suspects that a person may have committed a more serious violation of the law they will open an audit up on that individual. They need to examine all that the person has done related to their finances and paying their taxes to determine if there is a problem. No one likes to be audited, but it is a real possibility for any individual. The IRS sometimes even chases down some taxpayers who have defrauded the government only slightly to make an example of that person.

Legal Penalties

You might be able to get away with just paying a fine or some other slap on the wrist for lower level tax crimes, but things can get pretty serious when you approach the level where you are being charged with tax fraud in the fourth degree. That is the level at which you may face penalties that include jail time.

It is actually possible to go to jail for up to one year and pay a penalty of up to three-thousand dollars for a tax fraud charge of this magnitude. That is clearly something that all people want to avoid. It is certainly never worth intentionally trying to avoid taxes when you consider the fact that the penalties can be this steep.

Obtaining A Lawyer

It is your job to obtain legal representation. There are a lot of lawyers who practice tax law and who know the system and how it works. It is ultimately to your advantage to use the skills that those people have to work out the best possible defense that you can against these charges.

The IRS is frequently willing to work with you if you bring in a lawyer who knows what he or she is talking about. They can understand that certain situations may happen from time to time, and it is not out of the realm of possibility that you may still get away from this with only having to pay a fine, but that is only going to be true if you obtain a lawyer right from the start.

Don’t deal with Criminal Tax Fraud in the Fourth Degree: NY Tax Law 1803 alone. Speak to the Spodek Law Group today.

Fourth Degree Criminal Tax Fraud in New York

Fourth Degree criminal tax fraud is a serious offense with severe consequences under New York Tax Law 1803. It is considered a class “E” felony, punishable by up to four years in prison, even for first-time offenders. If you are a predicate felon, the punishment is mandatory, ranging from one and a half to three years in prison. If you have been arrested or indicted for criminal tax fraud in the fourth degree, it is crucial to seek representation promptly to explore all options for your future. The repercussions of being accused of tax fraud can be devastating, potentially ruining your life and professional career. Hiring a highly-skilled New York criminal tax fraud attorney with expertise in tax law is essential to mount a strong defense and increase your chances of winning your case.

Understanding Fourth Degree Criminal Tax Fraud

Fourth degree criminal tax fraud involves committing a “tax fraud act” or attempting to evade taxes. This offense applies if you have defrauded the state of New York out of more than $3,000 but less than $10,000 within a 12-month period. In some cases, a person may have simply underpaid their taxes, and the prosecutor must prove intent to commit fraud. Merely underpaying taxes does not constitute tax fraud. A New York fraud tax lawyer can help you understand the specific charges you are facing and guide you through the legal process.

In addition to defrauding the state of New York, you must have also committed additional fraud, such as failure to file a tax return, failure to remit other taxes, or making false material representations regarding your tax return. New York fraud and larceny lawyers specialize in handling these types of cases. Time is of the essence, as once the prosecutor builds a case against you, your attorney needs all the necessary information to mount a strong defense.

Other Crimes and Consequences

New York Tax Law 1803 also addresses other related crimes and issues. Tax fraud is rarely a standalone offense. If you use the proceeds obtained through tax fraud to purchase items worth between $3,000 and $10,000, you will face a “D” felony, carrying a potential prison sentence of up to seven years. Additionally, you may be charged under New York penal laws with offenses such as grand larceny, forgery, criminal possession of stolen property, offering a false instrument for filing, and falsifying business records.

The consequences of being convicted of any of these crimes are severe. Your reputation will be irreparably damaged, and finding employment in your profession will become extremely challenging. A felony tax fraud conviction can have long-lasting effects on your livelihood. It is crucial to address the allegations against you promptly. These cases can drag on for months or even years, but an experienced New York City tax professional can provide the assistance you need during this difficult period. Skilled attorneys who specialize in tax fraud cases know every angle and are prepared to use their expertise to mount a robust defense. They have successfully defended numerous clients against tax fraud allegations.

Seeking Legal Representation

If you have been accused of fourth degree criminal tax fraud, it is imperative to find a New York tax lawyer as soon as possible. These cases are time-sensitive, and every effort must be made to develop a successful defense strategy. A New York criminal tax fraud lawyer possesses in-depth knowledge of tax law and can use their expertise to help you navigate your situation. Your attorney will scrutinize every charge against you and identify weaknesses in the prosecution’s case. By taking proactive steps and seeking the guidance of a highly-skilled New York tax fraud attorney, you can gain an advantage over an overzealous prosecutor. Many attorneys offer free consultations to assess your case and provide an honest evaluation of what you can expect if your case goes to trial.