Trusted Tax Attorneys Serving Clients in Brooklyn

Trusted tax attorneys serving clients in Brooklyn help families, individuals and businesses resolve complex issues. They can assist with business taxation, estate taxes, income tax controversies and other legal matters related to wealth.

They can also work to help avoid costly penalties or criminal charges that come with tax evasion allegations. State and federal laws provide working definitions of what constitutes evasion and identify varying degrees of this type of fraud.

Evasion of Taxes

The tax code defines evasion as the use of illegal means to conceal information from the IRS or other authorities in an attempt to evade, defeat or avoid assessment or payment of taxes. Unlike tax avoidance, which is permissible, evasion of taxes can result in prison time and fines.

The penalties for a conviction of tax fraud can destroy personal finances and jeopardize the future of businesses. It is never in a person’s or business’s best interest to engage in tax evasion, as the IRS has made clear.

Some common methods of tax evasion include claiming inflated deductions, registering vehicles in another state or transferring assets between entities to avoid taxes. It can be very difficult to prove that an individual intended to evade taxes. The IRS will closely examine every bookkeeping entry and may question relatives, neighbors and even co-workers to build a case against you. The legal survival of a multimillion-dollar tax dodge can hinge on minutiae like what state you claim as your home, where you swipe your gym card or where you keep your most prized possessions.

Tax Fraud

The IRS and New York state tax authorities pursue allegations of fraud against individuals and businesses quite aggressively. If you are accused of committing any type of tax fraud, you must take immediate action to hire an experienced Staten Island tax fraud attorney to protect your rights and help you avoid prison, severe fines, and damage to your reputation.

This crime can involve a wide range of activities, from falsifying tax forms to concealing or transferring assets and income. In a recent case in Brooklyn, a tax preparer named Maria Cuervo and her business Danays Enterprises and Travel were barred from conducting commercial tax return preparation activities after the federal government documented that she assisted clients in making false claims on their tax returns.

A convicted tax fraud defendant faces some of the harshest penalties at the state and federal levels. For example, former attorney Daugerdas received a 15-year prison sentence for his role in a fraudulent tax shelter scheme that generated fake losses to reduce the tax bills of wealthy clients.

Tax Evasion Charges

For individuals, the penalties for tax evasion vary widely. They generally depend on how much money the individual has not paid in taxes. If a business keeps two sets of books to avoid paying sales tax, for example, it may be charged with multiple crimes because the total theft or loss to the state amounts to thousands of dollars.

Another type of tax evasion involves falsifying records to conceal income. For example, a person who flips properties might take rental payments from tenants but not include them on their tax returns. This is a form of evasion of assessment and could result in substantial fines and prison time.

The government must prove all of the essential elements of criminal tax fraud beyond a reasonable doubt in order to convict someone of this offense. A criminal defense lawyer might help a defendant build a strong case to reduce the potential penalties and jail time associated with this crime.

Tax Forms and Payments

The United States Internal Revenue Service uses a number of forms for individuals and tax-exempt organizations to report income and disclose other information. Many states, including New York, have their own state income taxes in addition to the federal taxation system.

A trusted Brooklyn tax attorney can help individuals file their annual income tax returns. They can also represent clients before the IRS and in federal and New York State conciliation conferences, and help with collection issues such as liens, levies and seizures.

Business tax attorneys are knowledgeable about state and federal taxation and are experienced in managing the taxation aspects of start-up costs, taxable income, business expenses, employee taxes and more. They can also advise and defend businesses facing audits, tax evasion allegations and other complex issues.

Estate planning attorneys are adept at setting up trusts and other mechanisms that can improve asset transfer and preservation, and can minimize or avoid the time consuming and emotionally stressful process of probate. They can also assist with IRS and New York state residency audits.