Tax Evasion Lawyers in Hiawatha

"Tax Evasion" refers to the crime of willfully failing to pay one's taxes, as required by Iowa law.

There are a few strategies that tax evaders use in Hiawatha, Iowa. One of the most typical tactics is to make it appear that the taxpayer has less taxable income than they actually do. There are a wide number of ways to harbor income for the purpose of evading one's tax liability, but all of them are illegal.

"Tax evasion" should not be confused with "tax avoidance." Tax evasion is the act of willfully attempting to get out of one's tax liability through prohibited 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 Hiawatha, Iowa

The laws of the federal government, as well as Iowa take tax evasion quite seriously, making it a crime.

The penalties for tax evasion in Hiawatha can range anywhere from small penalties to huge penalties, along with prison sentences of several years.

In the majority of tax evasion cases, however, the punishments are not so severe. This is particularly likely in first offenses, when the amount of money involved is fairly small. Minor punishments for tax evasion normally mean a small fine, on top of an order to pay whatever taxes the taxpayer owes. A minor punishment is most likely when the government has trouble proving that fraud was involved, as opposed to an honest accounting error.

On the other hand, if the prosecution can establish that a Hiawatha, Iowa taxpayer engaged in fraud, and knowingly failed to pay their taxes, a tax court will probably impose the most grave punishment that's permitted by law. This can easily involve jail time.

A Hiawatha, Iowa Tax Evasion Lawyer Can Help

An attorney in Hiawatha, Iowa 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.

However, if you're truly accused of tax evasion, you will need a Hiawatha, Iowa 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.