Legal Repercussions of Tax Fraud
International Tax Whistleblower Representation
The nature and severity of tax fraud consequences vary based upon the circumstances of each case.
Civil Penalties
Civil assessments for tax fraud include the payment of all back taxes including interest which compounds daily. This interest can accrue indefinitely. Fines may also be assessed in civil tax fraud cases. The value of the fines may vary based on the extent of tax underpayment.
Criminal Penalties
Criminal consequences for tax fraud vary depending on the amount of tax underpayment and can include incarceration. Under federal sentencing guidelines, the higher the amount of tax evaded, the greater the period of incarceration that may be imposed.
The IRS can also impose penalties on individuals who fail to file tax returns. Criminal penalties include a fine of up to $25,000 and one year in prison per year of non-filing.
Tax Whistleblower Program
Under the Tax Whistleblower Program, you can receive a reward ranging from 15% to 30% of all taxes, interest, and penalties recovered by the IRS if you provide information which directly leads to the collection of unpaid tax revenue. To qualify for a reward under the Tax Whistleblower Program, the amount recovered by the IRS must be at least $2 million, and in cases of individuals, the taxpayer’s gross annual income must exceed $200,000. Cases which fail to meet these criteria will be governed by statutes in place prior to the creation of the Tax Whistleblower Program in 2006. You may still receive a reward for your participation, but the IRS has sole discretion over the amount you will earn.
Whistleblowers are not entitled to receive a percentage of the fines collected as a result of any criminal matter that may evolve as the result of information provided to the IRS.
Experienced Tax Whistleblower Attorneys
The tax whistleblower attorneys at Kenney & McCafferty represent individuals with knowledge of large scale tax underpayment. Our cases have helped the IRS recover hundreds of millions of dollars in unpaid taxes, resulting in lucrative rewards for our clients. Our firm has obtained the first and only multi-million dollar tax reward since the creation of the Tax Whistleblower Program in 2006. We have the skills and experience to make sure your rights are protected so that you can maximize your tax reward.
If you have knowledge of tax underpayment totaling $2 million or more, please contact our tax whistleblower attorneys today. Kenney & McCafferty will consult with you about your case, without obligation. All communications with Kenney & McCafferty attorneys regarding your case are confidential and protected by attorney-client privilege.
