Tax Evasion Lawyers in Waterford
In Michigan "tax evasion" is the crime of failing to pay the taxes that they owe.
There are a few strategies that tax evaders use in Waterford, Michigan. 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 variety of ways to harbor income for the purpose of evading one's tax liability, but all of them are illegal.
"Tax evasion" should be distinguished from "tax avoidance." Tax evasion is the prohibited act of trying to hide one's tax liability. Tax avoidance, on the other hand, is perfectly legal, and simply involves using the tax laws strategically, to reduce one's actual tax liability as much as possible.
Penalties for Tax Evasion in Waterford, Michigan
The laws of the federal government, as well as Michigan take tax evasion quite seriously, making it a crime.
Tax evaders in Waterford 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.
However, the punishments for tax evasion, especially first offenses involving relatively small amounts of money, is not typically so severe, especially when it looks like the failure to pay taxes was the result of an honest mistake, rather than deliberate fraud.
On the other hand, if the prosecution can establish that a Waterford, Michigan taxpayer engaged in fraud, and knowingly failed to pay their taxes, a tax court will probably impose the most severe punishment that's permitted by law. This can easily involve jail time.
A Waterford, Michigan Tax Evasion Lawyer Can Help
A Waterford, Michigan attorney who specializes in tax law can help ensure that you are in compliance with all applicable tax laws, making an accusation of tax evasion less likely.
However, if you're truly accused of tax evasion, you will need a Waterford, Michigan 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.