TAX EVASION

Tax evasion is the illegal act of deliberately avoiding paying owed taxes by underreporting income, inflating deductions, hiding money, or using other deceptive means to reduce tax liability. Unlike tax avoidance, which uses legal methods to minimize taxes, evasion involves intentional fraud and deception against tax authorities. In Florida, as in the rest of the United States, tax evasion is taken very seriously because it undermines the government’s ability to fund public services and shifts the tax burden unfairly onto honest taxpayers.

Florida residents and businesses are subject to both federal and state tax laws. While Florida does not have a personal income tax, it does impose other taxes, including sales taxes, corporate income taxes, and property taxes. Tax evasion can involve failure to report income from these sources or falsifying tax returns submitted to the Florida Department of Revenue or the Internal Revenue Service (IRS). The state actively cooperates with federal agencies to detect and prosecute tax fraud and evasion.

Penalties for tax evasion in Florida are severe and can include criminal charges, fines, and imprisonment. At the federal level, tax evasion is typically prosecuted as a felony under 26 U.S. Code § 7201, which can lead to up to 5 years in prison and fines up to $250,000 for individuals. The IRS may also impose civil penalties and demand repayment of back taxes with interest. At the state level, penalties depend on the type of tax involved but can include substantial fines, restitution, and in some cases, misdemeanor or felony charges if the evasion involves significant amounts or fraudulent conduct.

Beyond legal consequences, being charged with tax evasion can severely damage personal and business reputations, impact creditworthiness, and result in liens or seizures of property. Due to the complexity and seriousness of tax evasion cases, anyone under investigation or facing charges in Florida should seek experienced legal counsel immediately to navigate the process, protect their rights, and mount an effective defense.

Crag Chaderton Law also works with forensic accountants and tax experts who help unravel complicated financial records, ensuring that our client’s financial activities are accurately represented and that any legitimate deductions or credits are fully documented.

When appropriate, we negotiate with prosecutors to reduce charges or pursue alternative resolutions, such as settlement agreements or payment plans, which minimize penalties and avoid lengthy trials.

Throughout the process, we provide clear communication and personalized guidance to support our clients’ rights and interests. With Crag Chaderton Law, clients gain a knowledgeable and aggressive advocate dedicated to protecting their freedom and financial future in tax evasion cases.