Sales Tax Fraud
Products that are sold to consumers in Jackson and around the nation have sales tax. Everybody knows that whatever their purchase costs, there will be a little extra tacked on for sales tax. If businesses are accused sales tax fraud, it’s critical to get with a criminal defense attorney who has proven white-collar defense case experience. Since those pennies can really add up, these can be pretty serious charges. There are many different forms of sales tax fraud, and it can take weeks, months or longer for these cases to be fully investigated. Listed below are some common types of sales tax fraud.
Different Types of Sales Tax Fraud
- “Off the books” sales
- “Under the table” sales
- Misrepresenting a tax exemption
- Understating sale totals
- Failing to report an out of state sale
- Fraudulent reporting of out of state sales
- Evading taxes
- Cooking the books
Evading sales tax may seem like no big deal. After all, it’s only pennies on the dollar, right? Wrong. Unfortunately, pennies add up, and cities, counties, states and other municipalities take sales tax fraud very seriously, since it is literally, money out of their pockets. Any type of action that could be considered sales tax evasion is a type of sales tax fraud. From skimming a little off of the top to underreporting of sales revenues, sales tax evasion can lead to fraud charges. If you’re under investigation or if you’re facing charges for sales tax fraud, your top priority needs to be getting in contact with a criminal defense lawyer who has proven tax fraud defense case experience. Accounting records, books and various state, federal and local laws can make these cases complex and lengthy, so the sooner you speak with a lawyer, the better.
“Under The Table” Sales
Selling items “under the table” is one of the most common forms of sales tax fraud. “Under the table” means that these sales are made as cash deals, and that nobody reports the transactions. This is a form of sales tax evasion and sales tax fraud. Selling items under the table without reporting them is sales tax fraud and can land you in hot water. Selling products under the table is also known a “off the books.” Essentially, it’s the sale of items without a paper trail or credit card record.
Skimming is another common type of sales tax fraud. Skimming off of the top happens when the total value of a sale is understated or underreported on the books. The skim off of the top can then go directly into the pockets of those skimming. This is a way to evade sales tax and defraud the government of sales tax. When you underreport the amount of money for a particular transaction, you have the potential to skim some off of the top and avoid paying the full amount of sales tax that you’re supposed to pay.
Consequences of Sales Tax Fraud
Cases involving sales tax fraud can often involve other types of fraud or white-collar crimes. Depending upon the circumstances of your unique case, you could be facing up to a year in jail, very heft fines or even multiple years in prison, if convicted. Although sales tax fraud and other forms of white-collar crimes aren’t traditionally violent in nature, they can still involve pretty severe penalties. This type of fraud or theft of what the government considers its property is very egregious in the eyes of the law. If convicted of sales tax fraud charges, the fines and back taxes can be exorbitant too.
Sales tax fraud charges can cost you thousands of dollars, your livelihood and potentially mean time behind bars. No matter what kind of situation you’re facing, a criminal defense attorney with proven white-collar tax fraud case experience can be an invaluable asset during a stressful time. Whether you’re facing charges associated with under the table deals, skimming or another form of sales tax fraud, your top priority needs to be getting into contact with a good criminal defense lawyer. As soon as you’re under arrest or facing charges, you need to contact a lawyer. Exercise your right against self-incrimination. Ask to speak with a lawyer, and let him or her handle the details.
If you have been arrested of if a loved one has been charged with sales tax fraud or any type of sales tax evasion in or around the Jackson Metro Area, contact the skilled and proven team at Coxwell & Associates, PLLC at (601) 265-7766 for an immediate case consultation.
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