The law that applies to the crime of evading taxes in the United States of America is under section 7201 called Attempt to defeat or avoid tax. It states that “Any person who willfully attempts in any manner to evade or defeat any tax imposed by this title or the payment thereof shall. In addition to other penalties provided by law, be guilty of a felony and, upon conviction thereof, shall be fined not more than $100,000 ($500,000 in the case of a corporation), or imprisoned not more than five years, or both, together with the costs of prosecution.” The violation of this law is evident where Erik Fresen who served in the Florida House of Representatives evaded to pay tax for eight years while in power and accepted the same mistake of voluntarily violating the legal duty. …show more content…
The outcome being Fresen owing the government taxes of not less than $100,000 fewer penalties and fines that come with the same mistake. Since the International Revenue Service has no power to prosecute Fresen’s crime, the only thing they can do is give the tax that should be payable and giving the penalties. These IRS investigations can foster criminal prosecution, but we have to realize that tax avoidance is an act that is legal while tax evasion is illegal. Fresen did not utilize the tax jurisdiction to his advantage so as reduce his taxes, if at all they were so huge, by means that are contained in the law. He did it intentionally, and the punishment that should be imposed on him should cater for the evaded tax which is way more what is stipulated in the law. Hence an additional period of imprisonment should be added up to the fine due to falsifying the tax
Last week, we talked about the IRS Criminal Investigation unit, which just released their Fiscal 2012 report. That report was filled with the sort of dry statistics you would expect from an IRS annual report: 5,125 total investigations launched, 202 crooked tax preparers indicted, 199 identity thieves sent to prison, and 64 months average time behind bars for money launderers. But the report also includes dozens of stories of tax cheats who really just should have known better — and some whose stories are so entertaining we just had to share them. Are you having a bad day? Well, be glad you're not one of these people!
In Nickel and Dimed: On (Not) Getting by in America, the author, Barbara Ehrenreich, takes on an experiment where she leaves her job as a highly acclaimed writer and decides to become part of the working class in order to better understand them and their continuous strains and worries. Throughout the novel, the author cleverly utilizes statistical data, her own personal experiences and the previously untold experiences of others to bring to light the harsh reality facing many Americans who, despite their daily hard work and effort, are shockingly close to poverty.
Campaign finance refers to all funds raised to help increase candidates, political parties, or policy attempts and public votes. When it comes to political parties, generous organizations, and political action groups in the United States are used to collect money toward keep campaigns alive. Campaign finance always has problems when it comes to these involvements. These involvements include donating to candidate, parties and other political organization. Matthew J. Streb stated “instead of placing further restrictions on campaign donations to candidates, parties, and other political organizations, we should consider eliminating contribution restrictions entirely (Rethinking American Electoral Democracy)”. In other words, instead of allowing
The national debt surfaced after the revolution when the United States government had to borrow funds from the French government and from the Dutch bankers. By 1790, the U.S. government accumulated millions in debt, but no one knew precisely how much. The Constitution mandated that the new government take over the debts of the old government under the Articles of Confederation.
In “The Great Dictator” Charlie Chaplin said “In this world there is room for everyone and the good earth is rich and can provide for everyone. The way of life can be free and beautiful. But we have lost the way. Greed has poisoned men's souls.” What is greed? Greed is an excessive desire to acquire or possess more than what one needs or deserves, especially with respect to material wealth. As a citizen of the United States, many have heard of the term the “American Dream”. James Truslow Adams, in his book “The Epic of America”, which was written in 1931, stated that the American dream is "that dream of a land in which life should be better and richer and fuller for everyone, with opportunity for each according to ability or achievement.” (Adams p.214-215). It’s according to this dream that many people acquire this goal of becoming successful at all cost in America. At all cost, meaning they would do anything to gain success. The U.S even though it is based on opportunity has fallen to greed. The U.S citizens have fallen to greed because of selfish desires, wanting to maximize profit, and a strong fixation towards self-growth.
The policies implemented by the United States to strengthen the border and enforce immigration policies have led to the abuse and profiling of undocumented immigrants. Undocumented immigrants live in constant fear of deportation and are subjected to multiple human rights violations as they are abused, exploited and discriminated against. Immigrants are racialized and stereotyped. The US government has passed laws that discriminate against undocumented immigrants, making it harder for them to live and survive in America. These laws are due to the perception that undocumented immigrants are a burden on the US economy, but on the contrary undocumented immigrants provide an economic benefit to the US, and due to the benefit they provide society
The United States as a country has always been an entity unique amongst the world’s myriad of nations: a conglomeration of cultures, ethnic groups and religious backgrounds from around the planet, all fused together to yield something entirely new. Since its very inception, those who dwell within its borders have attempted to ascertain the makeup of the American identity, in order to pin down how exactly one can come to be considered as an American themselves. This is inherently quite a subjective issue, but the conversation primarily boils down to three core factors that make the American people who they are: a dedication to preserving the natural rights of every human being, a belief in the importance of the individual in deciding their own
Undocumented citizens should receive the same rights as American citizens. While in America, everyone should be protected from discrimination, unfair treatment, and injustice. This is because no one should be denied basic human rights. Also, immigrants will always attempt to come to the U.S., whether it's allowed or not. There is no reason why while in America, they should have less rights than regular citizens. It is only discriminatory and unnecessary. Lastly, immigrants have always provided for this country more than they have hurt it. If undocumented citizens help contribute to America, why should they not be allowed American rights?
Illegal immigrations are slowly increasing into the United States. As Dianne Solis says, "In 2012, Texas had an estimated 1.7 million immigrants who were in the U.S. illegally, up from about 1.5 million before the recession began in 2007." Each year the percentage of illegal immigration keep going up, because they are crossing the border without any permission. Many people believe that some illegal immigrants are not criminals and that they have come to America only to work. Not true, believe or not, not all illegal immigrants are crossing into the United State to find work. However, if they do want to work, they have already committed a crime by illegally entering the United States. Therefore, illegal immigration benefits the US economy through additional of sex trafficking, government assistance, and cheap wages.
There are 3 types of corporate income taxes as follows: National 30% of taxable income, Local 20.7% of National Tax, and Enterprise 10.08% of taxable income. The calculated effective tax rate of 42.05% although they simply add up to 46.29% (30.0% + 30.0%X20.7% + 10.08%). It is because Enterprise tax is deductible for the other tax purposes only when it becomes due. Tax evasion involves fraudulent or criminal behavior, conduct involving deception, concealment, or destruction of records. Tax evasion occurs when the taxpayer fraudulently or criminally avoids the payment of taxes otherwise due and owing under the tax laws. There are many tax crimes under the Internal Revenue Code. The criminal violations cover the same territory as the civil fraud penalties, although the government has a higher burden of proof in the criminal cases. The criminal cases, however, reach a far greater spectrum of potential defendants. Unlike the civil penalties which target only the taxpayer, the criminal penalties reach anyone engaging in the defined offense, including employees, accountants, lawyers and tax preparers. Under IRC Sec. 7206(2), a person is guil...
When you are in the said position above, you might not see any probable way out at first glance. You might think that you'd eventually have to face terrible consequences as a result of your late or even non-filing of tax. But just when you have lost all hope, there's actually a great way for you to come out clean and comforted
Economics of Reich “Why the Rich are getting Richer and the Poor, Poorer” written by Robert Reich, describes as the title says, why the rich are getting richer and the poor, poorer. In Reich’s essay, he delves into numerous reasons and gives examples of each. It makes one wonder if the world will continue on the path of complete economic separation between the rich and the poor. One very important factor Reich examines in his essay is that large corporations are always trying to find the edge, whether that is new technology or cheaper wages. One may ask, how does that affect me?
Since 2009 to 2016, the Obama administration deported 2 million undocumented immigrants, 47 percent of these undocumented immigrants had no criminal record. In the U.S. there is an approximately 11 million undocumented immigrants. 8 out of the 11 million undocumented immigrants consist of the U.S. civilian labor. Currently, the President of the United States wants to deport all undocumented immigrants to their foreign country. We are against deportations because it does not abide by the ‘American Dream’. Personally we don't accept deportations because they are inhumane, they separate families, and many undocumented immigrants have lived in the U.S for many years.
A tax haven is a country that offers foreign corporations and individuals relatively low corporate and income tax rates, with a politically and economically stable environment. Some tax havens are Switzerland, Hong Kong, Bermuda, Ireland, and the Cayman Islands. The United States government has been fighting against the movement of corporations because it is not collecting taxes from these corporations that it could have used to reduce government debt. However, corporations have found loopholes that exempt them from United States tax laws. Companies are moving their headquarters across seas for tax benefits to keep their shareholders content. The United States government needs to reduce its corporate tax system so the country does not lose more companies, jobs, and money to foreign entities.
A Ponzi scheme is an investment fraud that involves the payment of returns to previous investors from funds paid by new investors.With little or no legal earnings, Ponzi schemes require a consistent flow of money from new investors to operate. Ponzi schemes tend to collapse when the operator is unable to recruit new investors ,when a large number of investors ask to cash out or if the operator disappears.These types of financial fraud have had a tremendous affect on the accounting profession, in the form of forensic accounting.