Tax Crimes

Although this was an oral presentation, this is the outline I created relating to the Internal Revenue Code and Tax Crimes.

Tax Crimes

I.               Criminal Offenses

A.      Section 7201—Tax Evasion: Anyone who willfully attempts in any manner to dodge a tax or its payment

B.      Section 7202—Willful Failure to Collect or Pay Over Tax: Failure by employers to withhold federal wage and FICA taxes and pay them to the government

C.      Section 7203—Willful Failure to File Return, Supply Information, or Pay Tax

D.      Section 7206—False Returns and Preparers of False Returns: Willfully make any document that he does not believe to be true and correct or any tax preparer who willfully aids in preparation of fraudulent or false documents

E.      Section 7212(a) —Attempts to Interfere with Administration of Internal Revenue Laws: Threats or forcible endeavors designed to interfere with Internal Revenue employees

F.      Related Criminal Offenses:  Other offenses associated with tax crimes including conspiracy, false claims, money laundering and conspiracy

II.               Process of Tax Crimes Enforcement

A.     Administrative Process

a.     Criminal Investigation Division (CID)—investigates all tax crimes

b.     District Counsel—sets up a meeting

c.      Department of Justice—determines government’s likelihood to prevail

d.     Office of the US Attorney—transfers to judicial process

B.     Information Gathered by Investors

a.     Summons

b.     Third Party Summons

c.      John Doe Summons

d.     Corporate Summons

e.     Undercover Tax Investigations

f.      Grand Juries

g.     Search Warrants

C.     Defenses—such as good faith misunderstanding

D.    Burden of Proof—relies on circumstantial evidence

E.     Federal Sentencing Guidelines

a.     Guideline Section

b.     Base Offense Level

c.      Adjustments

d.     Criminal History

e.     Guideline Range

f.      Sentencing Options

g.     Departure from Guideline Range