FAQs for New York Tax Lawyer Howard M. Koff
Albany tax attorney Howard M. Koff responds to frequently asked questions about the failure to file taxes.
- Do I need a tax lawyer if I file my overdue returns right now?
- Will I go to jail for non-filing?
- Can I save money by pleading guilty to my charges of non-filing?
- What legal rights do I have when I hire a tax attorney to help me?
Find answers to your tax questions in NYC, Albany and New York State
Howard M. Koff is an experienced tax attorney. He and his staff are ready to help you with your tax problem today. For answers to all of your tax law questions, contact Koff Tax Advocates now.
Do I need a tax lawyer if I file my overdue returns right now?
Yes. You need a competent tax lawyer to help you determine where you stand with the Internal Revenue Service. If the IRS has not yet taken action to collect your overdue taxes, we have good news. Non-filers are not prosecuted if they strictly follow the IRS/United States Department of Justice policy of Voluntary Disclosure—the filing of a complete and accurate tax return. The rules of voluntary disclosure are as follows:
- The voluntary disclosure to IRS must be truly voluntary. This means it must be made prior to the point in time where the non-filer becomes aware or is notified that he or she is a target of a criminal tax investigation.
- The non-filer must fully disclose, on his or her tax return, all relevant financial information. Any material omission or misrepresentation (such as failing to include one’s cash income in the return) will disqualify the non-filer from the benefits and protection of voluntary disclosure.
- The non-filer must make a good faith attempt to pay all assessed taxes, penalties and interest. If a taxpayer is able to pay 100 cents on the dollar, nothing less will suffice, and an attempt to settle for less will not be deemed good faith. If a taxpayer can only pay ten cents on the dollar, then a good faith settlement or offer in compromise may be made.
The Voluntary Disclosure Program can be used to report all types of previously unreported income, including investments in offshore activity.
Will I go to jail for non-filing?
Koff Tax Advocates works hard to prevent you from receiving a prison sentence for non-filing. Through the U.S. Department of Justice, the IRS prosecutes non-filing more than tax fraud, false statements, or any other tax crime. And, as a general rule, punishment is jail. However, although jail is the goal, the IRS is not necessarily seeking to incarcerate non-filers. Rather, it wants to send a strong message to discourage non-filing in the first place. Even with its vast financial resources and technical expertise, the IRS cannot identify and prosecute every non-filer. But sometimes, the IRS sets an example for other non-filers by pursuing criminal charges and putting you in prison. Why take the risk? Whether you are struggling to become compliant or you are already up against criminal tax charges, the Koff Tax Advocates has a solution for you.
Can I save money by pleading guilty to my charges of non-filing?
Becoming compliant with tax law is not only a matter of money; it is an issue of preserving your liberty and your reputation. Currently, failure to file is a misdemeanor. But President Obama has proposed making repeated failure to file a federal tax felony. The proposed charge is aggravated failure to file, and would apply to taxpayers who fail to file for three out of five years involving an aggregate tax liability of $50,000. The penalties for this felony would be as follows:
- Up to five years in prison
- A fine of up to $250,000
New York State already has a felony charge for failure to file in three consecutive years. This proposed federal change has not yet occurred, but it highlights the potentially serious consequences of the failure to file. Being a convicted felon impacts every aspect of your future, from the ability to get a job to the right to vote. Speak with tax law attorney Howard M. Koff today, and begin the process of putting your non-filing days behind you.
What legal rights do I have when I hire a tax attorney to help me?
When you work with Koff Tax Advocates, your legal rights are the same as when you hire any attorney in New York for any legal matter. Read the New York Statement of Client's Rights.
