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Criminal charges result from sales tax issues

| May 19, 2020 | Criminal/Civil Tax Litigation |

Money problems can quickly spiral out of control. Some people may begin to have financial troubles and soon feel unable to handle important matters, such as paying taxes. Unfortunately, if New York residents are suspected of not properly handling their tax-related matters, criminal charges could result.

One woman in another state was recently taken into custody on two charges relating to tax matters. The woman is the owner of a sports bar and has been under investigation by the state’s Department of Revenue for failing to remit sales tax and filing false tax returns. During one investigative interview, the woman indicated that she was having financial troubles and wanted to sell her possessions, including the bar. She also indicated that she could not access the funds in her bank account, and as a result, she could not pay her taxes.

Apparently, the woman had filed some tax returns but did not make proper payments, and other returns she had not filed at all. The investigation reportedly uncovered that the woman had not filed six consecutive tax returns and that over $28,000 in sales tax was collected at her establishment but was not paid to the state’s Department of Revenue. As a result, the woman is currently facing charges for evading sales tax after filing a false return and failing to remit sales tax.

Criminal charges for tax matters can be difficult to handle. As this woman’s case shows, financial problems could easily make handling taxes difficult, but if the problem goes unaddressed, it could lead to legal action. If New York residents are facing similar ordeals, they may want to remember that they have defense options for combating such allegations.