Tax fraud may seem like a crime committed in other parts of the country, a crime the Internal Revenue Service (IRS) investigates in New York or California. Allegations are present throughout the country, even here in Minnesota.
IRS accuses local man of tax fraud scheme spanning over ten years
The United States Attorney’s Office in Minnesota recently released information about a Minnesota man accused of a tax fraud scheme.
The prosecution accused the man of conspiracy to defraud the IRS and tax evasion. The man was allegedly involved in a tax scheme that ran from 2005 through 2015. During this time, the government claims the man failed to pay tax obligations on shares of stock. The government states he did not report the compensation for this stock on his tax filings. The IRS states the failure resulted in avoiding millions in tax obligations.
The prosecution presented evidence the accused had used almost $3 million in money from the shares to purchase a home in Orono, Minnesota. Yet, the government states his IRS income tax returns show a reported income of only $26,136. The accused stated that this tax return was false.
IRS builds a successful case — lesson for others charged with similar crimes
Ultimately, the court used this and other evidence to find the man guilty of the accusations. The court sentenced the man to seven years imprisonment and ordered to pay over $5 million in restitution to the government.
The case serves as a reminder of the seriousness of allegations of tax crimes. Those who face these accusations have options. A local attorney experienced in this niche area of tax law can help to better ensure your legal rights are protected.