Criminal Tax Litigation Lawyers

Criminal Tax Litigation Lawyers in the United States

When the IRS or a state tax authority accuses you of a tax crime, the stakes go far beyond owing money. Criminal tax charges can result in prison time, massive fines, and a permanent federal conviction on your record. A criminal tax litigation lawyer defends individuals and businesses facing prosecution for alleged tax offenses.

What Criminal Tax Litigation Covers

This area of law deals with the defense of people charged with federal or state tax crimes. Common charges include tax evasion, tax fraud, filing false returns, failure to file returns, and conspiracy to defraud the IRS. Employers may also face charges for payroll tax fraud or failure to collect and remit employment taxes.

The Department of Justice Tax Division prosecutes most federal tax crimes. According to IRS data, the agency initiates roughly 2,000 criminal investigations per year, with a conviction rate exceeding 90%. That conviction rate makes early, aggressive defense strategy a top priority for anyone under investigation.

When to Hire a Criminal Tax Litigation Lawyer

• You receive a target letter or grand jury subpoena related to your tax filings
• An IRS Criminal Investigation (CI) special agent contacts you or visits your home or business
• Your accountant, bookkeeper, or tax preparer has been charged and you may be implicated
• You learn that a civil tax audit has been referred to the IRS criminal division
• You need to make a voluntary disclosure to the IRS before an investigation begins

How the Criminal Tax Litigation Process Works

Most cases begin with an IRS Criminal Investigation. Agents gather evidence — bank records, interviews, financial documents — often for months before anyone is charged. During this phase, your lawyer can sometimes intervene and convince prosecutors not to file charges at all.

If charges are filed, the case moves to federal district court. Pre-trial motions, plea negotiations, and potential trial preparation follow. Many cases resolve through plea agreements, but some go to a full jury trial. Sentencing in tax crime cases often involves federal sentencing guidelines that calculate prison time based on the tax loss amount.

How Penalties and Financial Outcomes Are Determined

• Tax loss amount — the total unpaid tax drives sentencing ranges under federal guidelines; higher amounts mean longer potential sentences
• Restitution orders require defendants to repay the full tax owed, plus interest and civil penalties
• Fines can reach $250,000 per count for individuals and $500,000 per count for corporations
• Prison sentences for tax evasion carry a statutory maximum of five years per count, while tax fraud charges can carry up to three years
• Successful defense can result in reduced charges, lower restitution amounts, probation instead of incarceration, or full dismissal

Frequently Asked Questions

What is the difference between a civil tax dispute and a criminal tax case?

A civil case means the IRS says you owe money and imposes penalties. A criminal case means the government believes you intentionally broke the law. The burden of proof in criminal cases is "beyond a reasonable doubt," which is much higher than the civil standard. You cannot go to prison in a civil case.

Can I resolve a criminal tax issue before charges are filed?

Yes. The IRS Voluntary Disclosure Practice allows taxpayers to come forward before an investigation starts. A lawyer can guide you through this process to potentially avoid criminal prosecution entirely. Timing matters — once an investigation is underway, voluntary disclosure is typically no longer available.