I hear from taxpayers who have not filed tax returns for years who don’t think they have anything to worry about because they haven’t heard from the IRS. THINK AGAIN – CLEARLY!
In March 2023, the Department of Justice announced that Jerry Christopher Wade pled guilty to tax evasion. In February 2020, the IRS announced it was stepping up efforts against people who had not filed one or more tax returns.
What did Wade do? From 2011 through 2019, he owned and operated a landscaping company in Hot Springs Village, Arkansas. Despite earning income each year, Wade did not timely file federal income tax returns for 2011 through 2019. Wade knew he was required to file his tax returns. Wade received checks from customers (income) totaling $2,537,771.86 from 2011 through 2019. Wade did not deposit all of these checks into his bank accounts. When he cashed the checks, he got cash back from the bank, totaling $878,983.48. Wade told agents he did not keep business records, including records documenting income or expenses. Wade further admitted he did not issue his workers or himself IRS Forms W-2 or 1099. He also did not keep payroll records for the wages paid to himself or his workers.
Just because you haven’t heard from the IRS in a while doesn’t mean it is not watching. During COVID lockdowns, the IRS, like many businesses, was partially shut down and working remotely. That didn’t mean that it wouldn’t go after people who don’t file their tax returns. In Wade’s case, the IRS was building a criminal case against him. He could be sentenced to up to five years in prison.
We have helped many people who have not filed tax returns and helped them avoid going to jail. If you haven’t filed returns, now is an excellent time to get professional help and avoid prosecution like Wade.
Our firm focuses on tax resolution and helping people who owe $10,000 or more in taxes to the IRS or Indiana. We’ve seen taxpayers get blindsided every year by a huge tax bill. Many people don’t file their returns because they don’t have the money to pay the taxes owed. This can lead to more years of not filing and falling behind your taxes. If that’s you, we can help. Contact our firm today to discuss your tax debt settlement option. You can reach us by phone at 317-635-4040 or email rick@ebbinghouse.info.