Tax Evasion in Grand Terrace, 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 Grand Terrace, 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 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 Grand Terrace, California
The laws of the federal government, as well as California take tax evasion extremely seriously, making it a crime.
Tax evaders in Grand Terrace 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.
Most often, tax evasion - if it's a first offense and the tax liability is small - will not be cause for huge fines or imprisonment. This is especially true if the prosecution can't definitively prove that that the defendant's failure to pay taxes was deliberate, as opposed to an honest mistake.
On the other hand, if the prosecution can show that a Grand Terrace, California taxpayer engaged in fraud, and knowingly failed to pay their taxes, a tax court will probably impose the most severe punishment that's authorized by law. This can easily involve jail time.
Find a Grand Terrace Lawyer that Specializes in Your Area of Need:
A Grand Terrace, California Tax Evasion Lawyer Can Help
An attorney in Grand Terrace, California specializing in tax law can help you comply 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.
However, if you're really accused of tax evasion, you will need a Grand Terrace, 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.