Paying taxes may not be enjoyable or glamorous. However, it is something that individuals in New York and elsewhere must do. While filing tax returns seems like a routine process, mistakes can be made. These mistakes can look like intentional actions to evade paying taxes or to pay less than what one might owe. When the IRS is under the impression that a taxpayer is not in compliance with a tax law, an audit could ensue. This could evolve into a tax controversy.
Individuals in New York and elsewhere have tax obligations each year. While some years may be more than others, the reality is that one cannot avoid these financial obligations once it is established that a person owes taxes to the state or federal government. Despite this, some fail to meet these obligations for a wide range of reasons. In some cases, one does not have the finances necessary. In these cases, it is important to consider how this could impact them.
Thousands of business and personal account audits occur throughout the United States every year. The documentation review works to ensure that you or your business accurately pays government taxes, so that you may live and work legally in the country. Evading taxes constitutes a serious crime, so it is essential to follow all tax regulations to avoid criminal charges.
Preparing and filing one's own income taxes is an esoteric exercise that New York residents must perform each and every year to avoid running afoul of the law. While many people have a good idea of what constitutes their wages and what deductions they may be qualified to claim, not everyone will get their taxes right on their first pass. When individuals make mistakes in the preparation of their tax documents, they may be flagged by the Internal Revenue Service as having committed tax fraud.
Individuals and businesses in New York and elsewhere are aware that taxes are likely owed each year. One is also responsible for reporting income or profits earned each year. While addressing tax law matters can seem complex and challenging no matter a person's circumstances, it is important to address them, as they could evolve into larger issues.