The New York Daily News reports that day-trader Marcos Esparza Bofill has been hit with a $172,000,000 IRS tax bill: He failed as a day-trader and barely survived in New York on a beer budget, but Marcos Esparza Bofill has been hit with a $172 million tax bill by the IRS. Esparza Bofill didn’t file an income [...]

Press Release: The Pappas Law Group, P.A. February 24, 2011 On Wednesday Judge Kendall Sharp of the Middle District of Florida agreed with attorney Peter C. Pappas of The Pappas Group, P.A., that his client, James Lloyd Martin, III, should not receive a prison sentence for filing a false tax return even though the federal sentencing guidelines called for [...]

Contact us for a free and confidential consultation about the new Voluntary Disclosure Program and whether it is right for you. The Internal Revenue Service announced today a special voluntary disclosure initiative designed to bring offshore money back into the U.S. tax system and help people with undisclosed income from hidden offshore accounts get current with their [...]

Tara Siegel Bernard wrote a Column in the Your Money section of the New York Times yesterday in which she considers whether more taxpayers will cheat on their taxes this year because of the bad economy: With just a few more days to file your tax returns, you may be tempted — especially in this down [...]

Despite the many urban myths that are circulating about the IRS’s vicious and unforgiving nature, it takes a lot before a Revenue Officer or Agent will refer a case to the Criminal Investigation Division (CID). And it takes even more for a federal prosecutor to pursue an indictment. But there are certain instances where you can [...]

If an IRS official believes that you might have broken the law or are currently breaking the law, he or she will refer the matter to the IRS Criminal Investigation Division (CID). The Top Criminal Violations Investigated by CID The most frequently investigated criminal violations are: Failure to file an income tax return Structuring transactions to [...]

The IRS has an entire division dedicated to the investigation of tax crimes. And they’re very busy. The Criminal Investigation Division (CID) is comprised of approximately 4,400 employees worldwide, 2,800 of which are special agents whose investigative jurisdiction includes tax, money laundering and Bank Secrecy Act laws. While other federal agencies also have investigative jurisdiction [...]

§6673 imposes a 75% penalty for underpayments of tax that are attributable to fraud: (a) Imposition of penalty If any part of any underpayment of tax required to be shown on a return is due to fraud, there shall be added to the tax an amount equal to 75 percent of the portion of the [...]