Fraud, Criminal Penalties & Interest
Serious Violations of Tax Law
Intentional violations of tax law may result in criminal prosecution in addition to civil penalties. Interest generally accrues on unpaid tax liabilities regardless of whether penalties apply.
- Civil fraud penalties.
- Criminal tax evasion.
- Filing fraudulent returns.
- Willful failure to file.
- Interest on unpaid taxes.
Negligence may result in civil penalties, but intentional fraud can lead to criminal prosecution.
Summary
The severity of consequences depends on whether the taxpayer's actions were negligent or intentional.