Tim’s Tax News on the Tenth – November 2017

CRIMINAL INVESTIGATION DATA

A topic not usually covered in this newsletter is IRS criminal investigations. To address queries in this area I have reproduced IRS statistics on their criminal investigations. Since actions on a specific investigation may cross fiscal years, the data shown in cases initiated may not always represent the same universe of cases shown in other actions within the same fiscal year.

 FY 2016FY 2015FY 2014
Investigations Initiated117712021358
Prosecution Recommendations863863923
Indictments/Informations794 850873
Sentenced7718951022
Incarceration Rate*76.0%78.4%75.4%
Average Months to Serve343033

*Incarceration includes confinement to federal prison, halfway house, home detention, or some combination thereof.

Data Source: Criminal Investigation Management Information System.

A sample of convictions in the past year showing the diversity of criminal cases is as follows:

  • Orange County Man Sentenced to Prison for Operating Fake Law Firms that Promised to Help Struggling Homeowners.
  • Albuquerque Businessman Sentenced To Prison for Federal Tax Evasion Conviction.
  • San Antonio Businessman Sentenced for Defrauding Personal Injury Clients, Tax Evasion and Bankruptcy Fraud.
  • Fraudster Sentenced To Prison for Duping Investors Out Of More Than $3 Million.
  • California Woman Sentenced to Prison for Role in Mortgage Fraud Scheme.
  • Illinois Gas Station Owner Sentenced for Fraud, Tax Evasion; Ordered to Pay $1.5 Million.
  • Former Construction Company Project Manager Sentenced In Fraud Scheme.
  • Florida Man Sentenced in Connection with a “PIP” (Personal Injury Protection) Scheme to Defraud Automobile Insurance Companies.
  • South Florida Tobacco Importer Sentenced for Violating Probation and Failing to Pay Federal Excise Taxes.
  • Owners of Popular Ocean City, New Jersey, Pizza Restaurants Sentenced for Tax Evasion, Structuring and Making False Statements.
  • California Woman Sentenced to Prison for Mortgage Fraud Scheme and Identity Theft.
  • Former Church Treasurer Sentenced For Theft of Nearly $1.5 Million from Church, Wire Fraud and Tax Fraud.
  • Former Securities Lawyer Sentenced To Prison for Securities Fraud.
  • New Jersey Plastic Surgeon Sentenced for Evading Taxes.
  • Atlanta-area Dentist Sentenced for nearly $1 Million for Medicaid Fraud.
  • California Criminal Defense Attorney Sentenced to Prison for Failing to Report Income to IRS.
  • Former Manager at HBO Sentenced For Embezzling over $1 Million from the Cable Network.
  • Nebraska Woman Sentenced for Wire Fraud.
  • California Couple Sentenced to Prison for Wire Fraud, Identity Theft.
  • Landscaper Sentenced for Tax Evasion.
  • Owner of Tax Preparation Franchises Sentenced to Prison for Tax Evasion.
  • Woman Sentenced For Fraud Scheme to Sell Counterfeit Cell Phone Parts from China.
  • Kansas City Restaurant Owner Sentenced For $566,000 Tax Scheme.
  • Arizona Man Sentenced to Prison in Mortgage Fraud Investigation.
  • Longtime Fugitive Sentenced for $3 Million Food Stamp Fraud.
  • Owner of Real Estate Investment Firm Sentenced for $17 Million Securities Fraud.
  • Former Pennsylvania Attorney Sentenced on Tax Evasion Charge.
  • Flagstaff Anesthesiologist Sentenced for Tax Evasion.
  • Oregon Strip Club Operators Sentenced to Prison for Conspiring To Defraud the IRS.
  • Bank Loan Officer Who Demanded Kickbacks as Part of Multi-Million Dollar Mortgage Fraud Scheme Sentenced.
  • Six Sentenced for Defrauding Investors of $17 Million.
  • Kansas Aesthetics Business Owner Sentenced for Tax Evasion.
  • Massachusetts Men Sentenced for Tobacco Tax Fraud and Money Laundering.

Our office has been successful in helping taxpayers with IRS and IDOR collection problems for over 25 years. If you have a tax or debt problem, please contact me at (847) 705-9698 or thughes@lavellelaw.com and find out how we can help you. Above all, if you are unable to pay your tax bill, do not wait to call us. There are many programs designed to help taxpayers who are having trouble paying their tax bills. Because interest and penalties on unpaid taxes can add up very quickly, it is better to call our office sooner rather than later for help.

Lavelle Law, Ltd. is registered with the Illinois Department of Financial and Professional Regulation as an approved continuing education provider for CPE for CPAs and Enrolled Agents. If your organization is seeking CPE courses in the area of Business Law, Innocent Spouse Relief, IRS Collections, Tax Scams (including ID Theft) or other areas in tax law that can be taught at your office, please contact me at thughes@lavellelaw.com.

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