From the Tax Law Offices of David W. Klasing - What Percentage of Federal Tax Offenders Were Sentenced to Prison in 2019?

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Tax Law Offices of David W. Klasing, PC

Oct 14, 2020, 06:37 ET

IRVINE, Calif., Oct. 14, 2020 /PRNewswire/ -- The following statistical information is sourced directly from the United State Sentencing Commission USSC. Our Tax Attorneys have excerpted some of the report's more salient (and surprising) points below.

Who most frequently commits tax crimes, and where?

A total of 494 individuals were convicted of tax fraud. Tax fraud convictions have decreased since 2015, when 660 individuals were convicted.
Statistically speaking, the "typical" tax offender is a white (48.3%) male (68.1%) U.S. citizen (93.1%), at an average age of 50 upon sentencing.
Four out of five tax offenders have no prior criminal history.
Certain jurisdictions report higher numbers of tax crimes than others, with two of the top five located here in California. Judicial districts with the highest number of tax offenders were:

1. Southern District of Florida (23 offenders)
2. District of New Jersey (21)
3. Southern District of New York (21)
4. Eastern District of Pennsylvania (19)
5. Eastern District of New York (17)

How is the U.S. economy impacted by these crimes?

The median tax loss resulting from the offenses was calculated to be $296,429.
Astoundingly, more than 85% of the offenses "involved tax losses of $1.5 million or less." (While "less" is not defined, it is notable that, by comparison, only 21.6% of the offenses caused losses below $100,000.)

How were convicted tax offenders sentenced?

The majority of those sentenced – a total of 65% – received prison sentences.
The average prison sentence for tax fraud was 16 months, or one year and four months.

If you have failed to file tax returns or failed to provide factual and true information on filed tax returns, it is in your best interest to resolve the matter before the IRS or state tax authorities examine your returns or initiates a criminal tax investigation for intentional violation of the tax laws. An experienced tax defense attorney is an indispensable resource in coming into tax compliance without facing criminal tax prosecution and simultaneously minimizing any applicable civil penalties.

Call our office today at (800) 681-1295 or visit the contact us page of our website to schedule a reduced rate initial consultation.

See the full version of this article here.

Public Contact: Dave Klasing Esq. M.S.-Tax CPA, [email protected]

SOURCE Tax Law Offices of David W. Klasing, PC