Tax obligations can create frustrations for both individuals and businesses. However, false income tax returns can result in serious consequences. A Pennsylvania physician is dealing with such issues after pleading guilty on federal charges for filing both personal and business taxes fraudulently.
Court records indicate that the man filed false returns for both personal and business finances related to tax years 2001 through 2003. His returns failed to document more than $550,000 in income, and he failed to pay more than $180,000 in related taxes. He also reportedly filed fraudulent insurance claims during this period, resulting in his receiving higher payments than were due from insurance providers.
The physician is slated for sentencing in May 2015, and he could face a maximum prison sentence of nearly 30 years along with a maximum fine of nearly $2 million. However, sentencing may be impacted by any prior criminal activity and the seriousness of the offenses in the current case.
An individual who is dealing with tax challenges may worry about the legal implications of errors in both personal and business filings. Accuracy is important for limiting one's risk of legal repercussions for issues such as tax fraud, but tax laws can be confusing, leaving room for error. One way a business owner might reduce the possibility of such errors is working with a tax attorney to ensure that calculations and filing are accurate. It may also be beneficial to work with such a professional to plan ahead so that one's tax obligations can be strategically and legally reduced.
An individual who has discovered that there are problems with their returns may find that legal support is important for addressing issues such as an audit or tax evasion charges. An attorney may be able to negotiate a repayment plan in some cases. In cases involving significant penalties and potential prison time, an attorney might assist in seeking a plea deal to minimize the consequences.
Source: Westmoreland Times, "Pennsylvania physician pleads guilty to tax charges, health care fraud," Jan. 19, 2015