Tax Evasion in Cottonwood, Arizona
"Tax Evasion" refers to the crime of purposely failing to pay one's taxes, as required by Arizona law.
One of the most common common tactics of tax evaders in Cottonwood, Arizona is to attempt to make it appear to an outside observer that their tax liability is lower than it actually is, such as by concealing income, fraudulently transferring property, and others.
You may also be acquainted with the term "tax avoidance." It is crucial that you don't confuse this with "tax evasion." Tax avoidance is perfectly legal, and is probably something that every taxpayer does whenever they file, whether they know it or not. It involves employing legal methods to make one's tax liability as small as possible, taking advantages of deductions and other tax breaks.
Penalties for Tax Evasion in Cottonwood, Arizona
The federal government and the laws of Arizona impose grave penalties for tax evasion - treating it as an extremely serious crime.
In Cottonwood, the penalties for tax evasion can range from a court order to pay back taxes, plus a small fine, and range all the way up to penalties in the tens (or hundreds) of thousands of dollars, and imprisonment.
In most cases, especially when the amount of taxes evaded is small, and it's a first offense, the punishment will usually be fairly mild. It will usually result in an order to pay the taxes the defendant owes, plus a small financial penalty. This is especially likely when it cannot be proven that the failure to pay taxes was willful.
But if the government is able to definitively prove that a defendant in Cottonwood, Arizona intentionally engaged in fraud to get out of paying taxes, a tax court is very unlikely to show any leniency, and may well sentence the defendant to prison time.
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A Cottonwood, Arizona Tax Evasion Lawyer Can Help
An attorney in Cottonwood, Arizona specializing in tax law can help you adhere with all the tax laws that apply to you, which makes it very unlikely that you'll ever be accused of tax evasion in the first place.
If you find yourself actually accused of tax evasion, and are innocent, you should hire a Cottonwood, Arizona attorney with expertise practicing tax law, as soon as possible. Your tax attorney can help you defend yourself against the charges, ensuring that you have a good chance at being acquitted.