The IRS Criminal Investigation Voluntary Disclosure Process

voluntary disclosure processLet’s say you have committed tax fraud—for years. Whether it was false income tax returns, payroll tax issues, or other potential tax crime, you know you did it. Fear of the IRS eats at you as you try to enjoy your family and your future—knowing career ruin and even prison could lie ahead. If this is you, the IRS offers a disclosure process that could help you set your life straight without the anxiety of being charged tomorrow with criminal tax fraud.


We frequently discuss stories and schemes of individuals who ultimately face criminal tax charges for willful tax evasion and other fraudulent activities. Because our legal practice is focused on criminal tax defense, we understand the impact of an IRS criminal tax investigation on taxpayers. We provide strong, strategic civil and criminal tax defense when the IRS comes knocking. Legal guidance goes even further to mitigate impacts when steps are taken before the IRS is aware of the fraudulent tax misdeeds of an individual or company.


The IRS has a voluntary disclosure program for taxpayers who seek to regain compliance on their domestic tax obligations. Many people do not consider the idea of fessing up to potentially criminal tax activities, believing that connecting with the IRS will just make things worse. Here are points to consider:

  • The IRS Criminal Investigation (CI) program offers an avenue for a potential tax offender to admit potential tax crimes and tax evasion to the agency. The taxpayer works through the process, offering transparency and needed documentation. The taxpayer is expected to pay taxes owed and penalties due. While there is potential liability for admitted tax crimes, the IRS usually does not pursue prosecution of those who come forward to set the record straight.
  • Eligibility for the program is limited to individuals who are not yet the subject of a civil audit or IRS criminal investigation. If information has already been received information from a third-party about your activities, you will not be eligible. If the IRS has already initiated any kind of noncompliance action targeting you, this program is not for you.
  • There is a two-part application process for the program. If you made non-willful tax errors, talk to your tax attorney about whether this is your best option. Amendment of your tax returns or other disclosure-type activity may serve you better than the disclosure process through CI. As well, if tax crimes you have committed are based on income that is considered illegal by the federal government, the CI program is not a good bet.


Like most disclosure programs, there is literally a price to pay. If you made a sizeable fortune through tax fraud, you will be required to pay for it—but the price probably does not include time in prison, the loss of your business or career, and destruction of your reputation.


Are you tired of looking over your shoulder for the IRS? If the answer is yes, speak with a reputable criminal tax defense attorney to better understand your options—in or out of the IRS disclosure process.


Skilled criminal tax defense attorneys help you in Ohio

With offices in Cleveland and Chicago, the legal team at Robert J. Fedor, Esq., LLC offers help with tax controversy, offshore tax matters, compliance issues, and guidance with business bankruptcy. Contact us today or call 800-579-0997.


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