Tax Evasion Lawyers in Lake Elmo
Within Minnesota "tax evasion" is the crime of failing to pay the taxes that they owe.
There are a few strategies that tax evaders use in Lake Elmo, Minnesota. 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.
You should not confuse "tax evasion" with "tax avoidance." Tax evasion is illegal, and involves deliberately failing to pay one's taxes which they lawfully owe. Tax avoidance, on the other hand, is legal, and involves utilizing legal strategies to lower one's legal tax liability. For example, strategically using deductions and tax credits to lower the amount of money you are legally obliged to pay, is an example of tax avoidance, assuming you actually pay your tax bill, whatever it ends up being.
Penalties for Tax Evasion in Lake Elmo, Minnesota
The laws of the federal government, as well as Minnesota take tax evasion quite seriously, making it a crime.
In Lake Elmo, the penalties for tax evasion can range from a court order to pay back taxes, plus a small fine, and range all the way up to penalties in the tens (or hundreds) of thousands of dollars, and imprisonment.
Normally, an initial offense of tax evasion, if the amount of tax evaded is comparatively small, will not result in jail time or massive fines. This is particularly the case if the government has trouble proving that the failure to pay taxes was the result of intentional evasion, as opposed to an honest error in accounting.
However, if the relevant tax authorities are able to demonstrate that a taxpayer in Lake Elmo, Minnesota committed intentional 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.
A Lake Elmo, Minnesota Tax Evasion Lawyer Can Help
A Lake Elmo, Minnesota attorney who concentrates in tax law can help ensure that you are in conformity with all applicable tax laws, making an accusation of tax evasion less likely.
If you find yourself truly accused of tax evasion, and are innocent, you should hire a Lake Elmo, Minnesota attorney with expertise practicing tax law, as soon as possible. Your tax attorney can help you defend yourself against the charges, ensuring that you have a good chance at being acquitted.