Kevin, a drug dealer, earns $5 million of income during the taxable year but never files a
Question:
Kevin, a drug dealer, earns $5 million of income during the taxable year but never files a return. After he is convicted of dealing drugs, an IRS agent interviews him about his unfiled tax returns. Kevin admits that he earned $5 million but never filed a return. Which tax offense could Kevin be charged with, if any? If he did commit a criminal tax offense what would be the maximum sentence?
Linda is found guilty of tax evasion that resulted in a loss to the federal government of $50,000. She has no criminal history and her base offense level is 14. What should her sentencing be in terms of payment due and months of imprisonment?
Naomi earns $200,000 in 2008 but she does not file a tax return which would have been due on April 15, 2009. The IRS interviews her on November 1, 2014, and she lied that she did not earn $200,000 of income in 2008.
Did Naomi commit a tax offense and, if so, when is the last possible date she could be prosecuted?
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill