North Carolina Criminal Tax Attorneys – Raleigh Criminal Defense Lawyers

Listed among the Best Lawyers in America, and named one of North Carolina’s “Legal Elite” by North Carolina Business Magazine, criminal tax lawyer Douglas E. Kingsbery has dedicated his legal career to representing residents of North Carolina for more than 25 years in criminal tax and tax evasion cases.

One of the first attorneys in North Carolina to be named a board-certified specialist in criminal law, Kingsbery’s extensive knowledge of federal and state tax laws has helped him successfully represent numerous businesses and individuals with tax problems across NC, including residents of Raleigh, Durham, Chapel Hill, Apex, Cary, Fayetteville, Wake Forest, Chatham County, Johnston County, Orange County, and Wake County.

Criminal tax prosecutions are on the rise in North Carolina as well as nationally. At the national level the IRS focuses its investigations on tax evasion, false tax returns, and failure to file tax returns, among other federal tax requirements. Their North Carolina counterparts at the N.C. Department of Revenue investigate similar cases, as well as failure to file and pay sales and use taxes and employee withholding taxes.

The Criminal Law Section of Tharrington & Smith, LLP has seven criminal lawyers who provide legal services in the following areas of tax crimes.

NC Department of Revenue (State) Criminal Tax Cases

Sales and Use Tax. Retailers in NC are required to charge, collect and pay over to the Department of Revenue a sales and use tax on the sale of certain goods. The failure of the retailer to timely pay the collected sales and use taxes is usually charged as embezzlement.
Employee Withholding. Employers in NC are required to withhold North Carolina taxes from the pay of their employees, and to remit those taxes to the NC Department of Revenue. The failure of an employer to submit timely pay over withholding taxes is usually charged as embezzlement.
North Carolina Residency Disputes. Residents of North Carolina are required to file a North Carolina Individual Income Tax Return. Disputes arise when there is a disagreement over whether an individual has been a NC resident for all or a part of a year. These disputes are often litigated administratively but can become an important issue in criminal prosecutions.
Tax Evasion. Any attempt to evade or defeat tax. The federal and state definitions are similar with the penalties varying, but in both cases it is charged as a felony.
Failure to File Tax Returns. The willful failure to file a return, supply information, or pay a tax is a misdemeanor and a person can be fined up to $25,000 and jailed for up to one year. This statute includes five violations: 1) willful failure to file a required return; 2) willful failure to pay an estimated tax; 3) willful failure to pay tax; 4) willful failure to keep records; and 5) willful failure to furnish information.
Filing a False Tax Return. This statute is violated if the taxpayer has made, signed and filed a false tax return or other document. This violation is also sometimes charged as Tax Evasion.

IRS (Federal) Criminal Tax Cases

Tharrington & Smith, LLP’s criminal defense attorneys provide legal representation in IRS investigations and federal tax crimes for:

Foreign Bank Accounts. The IRS has launched a major offensive designed to uncover the existence of off-shore bank accounts and other financial accounts. Federal regulations require taxpayers who have a foreign financial account to file specific forms and to disclose any interest earned on foreign accounts. Failure to provide this information is a crime.
Abusive Tax Shelters. These are shelters set up exclusively for the purpose of tax evasion. Many shelters involve the use of “family” trusts, other grantor trusts as well as other trust mechanisms. While criminal investigations into abusive tax shelters typically target the promoters of the shelters, and not the taxpayer, the IRS has recently begun charging individual taxpayers who fall within certain prosecution guidelines.
Administrative Summonses. When a taxpayer is under investigation for tax fraud, the IRS will issue an Administrative Summons to obtain documents related to the tax violation. The IRS approves this process, but also offers a manner for the taxpayer to quash the summons.
Filing a False Tax Return
Failure to File Tax Returns
Tax Evasion
Grand Jury Investigations
Tax Preparers & Advisors
Voluntary Disclosure
Innocent Spouse Defense