Tax Evasion Lawyers in Mitchell
In South Dakota, "tax evasion" is a crime that involves a purposeful failure to pay the taxes that the taxpayer legally owes.
Usually, the strategy employed by tax evaders in Mitchell, South Dakota 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 be distinguished from "tax avoidance." Tax evasion is the unlawful act of trying to hide one's tax liability. Tax avoidance, on the other hand, is perfectly legal, and simply involves utilizing the tax laws strategically, to reduce one's actual tax liability as much as possible.
Penalties for Tax Evasion in Mitchell, South Dakota
Under federal and state law, including the laws of South Dakota, tax evasion is a very egregious crime.
In Mitchell, 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.
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.
On the other hand, if the prosecution can show that a Mitchell, South Dakota taxpayer engaged in fraud, and knowingly failed to pay their taxes, a tax court will probably impose the most grave punishment that's authorized by law. This can easily involve jail time.
A Mitchell, South Dakota Tax Evasion Lawyer Can Help
A tax attorney in Mitchell, South Dakota can ensure that you meet your tax liabilities, which will make an audit, or charge of tax evasion, less likely. Sometimes, it's challenging to determine clearly what one's tax liability is, and a tax attorney can help.
Of course, if you've really been accused of tax evasion, you should retain a Mitchell, South Dakota tax lawyer immediately. If you are innocent, a tax attorney will make sure you have the best chance possible at being acquitted.