Sometimes the Internal Revenue Service makes mistakes and accuses innocent people of wrongdoing. Sometimes people make mistakes and must pay large fines or even serve time behind bars.
We read recently of a mother of three who made a serious mistake and will now pay a steep price. She was ordered by a U.S. Middle District judge to spend a year in federal prison for her role in a $204,000 tax fraud that also involved her sister.
The 35-year-old pleaded guilty to filing false tax returns. According to a media report, the pair of sisters filed more than 50 false returns for themselves and others.
The woman reportedly confessed to her wrongdoing and also gave investigators information that implicated her sister. Her sister has pleaded guilty and awaits her sentence.
In addition to a year in federal prison, the woman was sentenced to 2 years of probation and ordered to pay restitution totaling $112,640. On top of all of those penalties, because she cooperated with authorities, she is now estranged from her large family. Two of the family members who stood by her -- her mother and father -- both died in recent months.
She expressed to the court remorse and regret for her actions.
As bad as her situation is, it could have been even worse. Those charged with filing false income tax returns can be sentenced to 3 years in prison, with a fine of $250,000 plus reimbursement of costs of prosecution. If two people conspire to commit fraud against the United States, they can each be sentenced to 5 years behind bars with similar fines and costs.
Anyone facing these possibilities can speak with a tax lawyer. With offices in Cleveland and Chicago that have represented clients in approximately 45 states and 15 countries, the tax attorneys of Robert J. Fedor, Esq. are experienced in criminal tax defense matters.
