What is a criminal tax investigation?
In a criminal tax investigation, the government is preparing a case for a court room with the purpose of putting a person to jail. Besides the IRS, there are a few departments that can start a criminal tax investigation: the Postal service, FBI, ICE and others. Remember that in a tax audit, you will be investigated by the IRS because they want to make sure that you have reported your tax liability. This is a normal procedure, unlike a criminal tax investigation.
How can I know if I am the target of a criminal tax investigation?
The IRS can start a criminal tax investigation even if you don’t think you’ve done something wrong. The tax law is complicated and most people that are investigated aren’t aware that they’ve done something illegal. If you are contacted by an IRS or FBI agent, you might be subject to a criminal tax investigation. If you haven’t filled your returns, you might also be in trouble.
What can I do if I am the subject of a criminal tax investigation?
Most people get convicted based on their own statements. You have the right to remain silent. You shouldn’t answer any question without an attorney present. Try to avoid talking with any special agent and don’t act without an attorney. The IRS can also get information from informers so you shouldn’t talk to anyone about your situation. If you feel that you are subject of a criminal tax investigation, hire a Tax Attorney as soon as possible and try to remain calm. If you have a good attorney, you have high chances of walking away without any repercussions.