It goes without saying that Michigan taxpayers want to avoid criminal tax consequences. Such charges require immediate attention because the penalties can impact your finances, career and reputation. The penalties for tax crimes include fines, asset forfeiture and possible prison time. A conviction could mean the loss of a professional license and difficulty in obtaining employment concerning certain types of occupations.
Recently, the IRS released its fiscal year 2016 annual report of criminal investigation activities. According to the IRS news release, the division's conviction rate during 2016 was at 92 percent. Such a level of success demonstrates that the IRS is serious about prosecuting tax crimes.
The IRS is extremely proud of its ability to prosecute tax crimes. For this reason, the IRS hires the best sorts of investigators when looking into tax crime allegations. As a part of its continuing efforts, it releases these kinds of reports tracking criminal investigations every year.
During 2016, the IRS Criminal Investigation (CI) involved itself in 3,395 cases concerning money laundering, narcotics trafficking financial crimes, identity theft and other crimes. According to one IRS commissioner, the purposes of such efforts are to make certain "everyone is playing by the same rules and paying their fair share."
It seems apparent that the IRS will continue focusing its efforts on prosecuting tax crimes. And because of severity of the penalties, it is almost always essential to have on your side experienced legal counsel when allegations of criminal tax activity arise. Such counsel can communicate directly with tax officials regarding the nature of the charges. They can also provide guidance regarding what steps to take to avoid criminal prosecution.