Tax Evasion in Davis, California
"Tax Evasion" refers to the crime of deliberately failing to pay one's taxes, as required by California law.
Usually, the strategy employed by tax evaders in Davis, 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 deliberately attempting to get out of one's tax liability through unlawful means. Tax avoidance is perfectly legal, and involves utilizing 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 Davis, California
The laws of the federal government, as well as California take tax evasion extremely seriously, making it a crime.
In Davis, tax evasion can result in anything from a comparatively small fine, and a court order to pay any back taxes as well as interest, all the way up to financial penalties in the hundreds of thousands of dollars, as well as jail time.
However, the punishments for tax evasion, particularly first offenses involving relatively small amounts of money, is not normally so severe, particularly when it looks like the failure to pay taxes was the result of an honest mistake, rather than deliberate fraud.
But, if the government can prove that a defendant in Davis, California deliberately concealed income, in order to get out of paying taxes, a court will most likely impose the heaviest penalties allowed by law, including enormous fines, and several years in prison.
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A Davis, California Tax Evasion Lawyer Can Help
Tax lawyers in Davis, California can help anyone from an individual to a big business pay their taxes more quickly, and adhere with federal and local tax laws.
However, if you're really accused of tax evasion, you will need a Davis, California tax attorney more than ever. If you are, in fact, innocent, a tax attorney can give you the best possible chance of being found not guilty.