Tax Evasion in Covina, California
"Tax Evasion" refers to the crime of purposely failing to pay one's taxes, as required by California law.
Usually, the strategy employed by tax evaders in Covina, California is to try and make it look like they have less taxable income than they actually do. This can be done by failing to report income, concealing it, or fraudulently transferring property.
"Tax evasion" should not be confused with "tax avoidance." Tax evasion is the act of purposely attempting to get out of one's tax liability through unlawful means. Tax avoidance is perfectly legal, and involves using legal strategies (such as taking advantage of deductions and tax credits) to reduce one's legal tax liability. However, someone engaging in tax avoidance typically intends to pay whatever they end up owing, even as they try to reduce the amount they owe.
Penalties for Tax Evasion in Covina, California
Under the laws of California, as well as federal law, tax evasion is a very serious criminal offense.
Tax evaders in Covina can be punished by multi-year prison sentences, as well as six-figure fines. Of course, there is a wide range of punishments available, with the ones just mentioned representing the most severe options available.
In most cases, particularly when the amount of taxes evaded is small, and it's a first offense, the punishment will normally be fairly mild. It will normally 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 deliberate.
However, if the relevant tax authorities are able to demonstrate that a taxpayer in Covina, California committed deliberate fraud, in order to evade their legal duty to pay taxes, a tax court is probably going to impose a more severe penalty, which may include jail time, and large financial penalties.
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A Covina, California Tax Evasion Lawyer Can Help
Tax lawyers in Covina, California can help anyone from an individual to a big business pay their taxes more easily, and comply with federal and local tax laws.
Of course, if you've really been accused of tax evasion, you should retain a Covina, California tax lawyer immediately. If you are innocent, a tax attorney will make sure you have the best chance possible at being acquitted.