PLEASE NOTE: Our office remains open and available to serve new and existing clients during the COVID-19 crisis. We are offering the ability to meet with us in person or via telephone. Please call our office to discuss your options.

The Stronger Your Attorney, The Stronger Your Case

Experience, trust and hard work are the reasons
behind our track record of success.

Guilty plea made in federal tax crime case in North Carolina

| May 19, 2014 | Federal Crimes |

A North Carolina man accused of tax evasion could end up spending multiple years in prison.

The man in question is a 48-year-old man who was the owner/operator of a seafood distribution company in Wilmington. The allegations against the man centered on his federal taxes during the period going from 2006 to 2010.

According to authorities, during this time period, the income the man reported on his taxes was much lower than the personal expenditures he was making. Authorities claim that what was behind this disparity was that the amount of income the man actually had was much higher than what he reported. According to authorities, during the above-mentioned period, there was over $1 million of income that the man should have reported on his taxes but did not. Authorities allege that this resulted in the man underpaying his taxes by nearly $400,000.

One charge of filing a false corporate tax return and five charges of personal income tax evasion were brought against the man over these allegations. He recently pled guilty in this case as part of a plea deal. Under the deal, he pled guilty to a willfully attempting to evade a personal income tax charge and authorities dropped the filing a false corporate tax return and personal income tax evasion charges.

Even with several charges being dismissed, the man is still facing significant possible sentences. He could be given a fine of up to $250,000 and a prison sentence of up to five years in relation to the charge the guilty plea was made on. His sentencing hearing is expected to occur in August.

There are a great many different reporting requirements when it comes to federal taxes. What a person does or does not report on their federal taxes matters quite a bit, as allegations of failing to meet the Internal Revenue Service’s reporting requirements can lead to a person being the target of a federal investigation and possibly even a federal prosecution. As the above-mentioned case illustrates, the potential punishments for federal tax crimes can be incredibly serious, even when leniency is obtained through things such as a plea agreement. Given how intimidating and high-stakes federal tax investigations and tax prosecutions can be for a person, individuals facing such things may want to have a federal crimes defense attorney in their corner to provide them with guidance and advice.

Source: StarNewsOnline, “Business owner pleads guilty to tax evasion,” F.T. Norton, May 14, 2014

Archives

FindLaw Network