What is tax evasion?

This is what was said about Tax Evasion from the Internal Revenue Service (IRS) code number 7201: “Any person who willfully attempts in any manner to evade or defeat any tax imposed by this title or the payment thereof shall, in addition to other penalties provided by law, be guilty of a felony and, upon conviction thereof, shall be fined not more than $100,000 ($500,000 in the case of a corporation), or imprisoned not more than 5 years, or both, together with the costs of prosecution. € So in other words Tax Evasion is when an individual or company deliberately sets out to defraud the IRS by trying to not to pay their proper amount of taxes or not pay at all. This is of course a crime that is punishable by law and could lead to a person or persons being imprisoned as well as paying hefty fines.

The individuals could also be subjected to paying other penalties by law such as the cost for prosecuting the case. You can find out more about Tax Evasion through the following article printed on the Cornell University Law School website: topics.law.cornell.edu/wex/tax_evasion.

Tax evasion is usually understood to be an act in which an individual intentionally chooses to not pay income taxes due. This act of not paying taxes may be conducted by simply chooses to not file an income tax return, or choosing to not include information about taxable income on the filed return. In all instances, tax evasion can be considered to be fraud, and usually carries stiff penalties.

While there are some that consider any type of omission from the tax return to constitute tax evasion, it is important to remember that it is possible to omit an item simply because the data was overlooked when filing the return. Thus, the intent of the individual plays a key role in determining if tax evasion has taken place. When the return fails to include information simply because the filer overlooked the data, there is a good chance that the tax agency will still impose a fine of some sort, but no further action would be taken.

However, when it can be demonstrated that the individual ... more.

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