IRS Criminal Investigations
The Internal Revenue Service Criminal Investigation Division (CID) is the agency of the IRS devoted to investigating Federal tax crimes. CID investigators are Special Agents whose primary motive is to uncover and prosecute tax crime, tax evasion, and tax fraud. While the CID does investigate cases of illegal income, such as that gained from drug distribution or from organized crime, more than half of the cases they investigate are for tax crimes related to legal income. These white collar tax crimes may include failure to file, failure to pay, unsubstantiated deductions, or underreporting income. The IRS Criminal Investigations Division is thorough and discreet. Most people under IRS investigation are not even aware of CID actions until Special Agents appear at their door. If you suspect you are being investigated, or if you have been notified by the CID that you are being arrested or charged with a Federal crime, call experienced tax crime defense attorney Joe Shannonhouse immediately. Do not speak to agents or investigators and do not discuss your case with anyone until you have consulted your Oklahoma tax attorney.
An IRS CID investigation may be launched by any number of factors—an informant, such as a vindictive ex-spouse, a disgruntled ex-employee, or a competing business rival may tip off the IRS to any suspicious action. Most commonly, however, CID investigations come as the result of a civil tax audit in which an IRS Revenue Agent discovers unreported income, unsubstantiated deductions, or other inconsistencies. Of the cases referred to the CID for investigation, fully 75% are prosecuted in Federal court.
Though you may not realize you have been under investigation until it is too late, there are some warning signs. If you notice any of these signs, immediately retain a tax attorney with expertise in white collar defense:
- An IRS Agent who has been auditing your case or attempting tax collection suddenly ceases communication.
- You are informed by your bank that your bank records have been summonsed or subpoenaed by the CID or the Oklahoma Office of the Attorney General.
- Your accountant is contacted by Special Agents or subpoenaed.
- You are notified of an impending special audit for a year in which you know there are tax discrepancies.
- You are contacted by CID Special Agents.
The above actions are not merely signs that an investigation may be underway; rather they are evidence of a fully involved IRS criminal investigation. Do not attempt to answer investigators’ questions alone. Contact Federal tax and white collar defense attorney Joe Shannonhouse as soon as possible to protect your rights, your freedom, and your assets.
For an evaluation of your IRS Criminal Investigation case, call Joe Shannonhouse at (405) 415-1700.