YOU MAY HAVE SEEN TODD SPODEK ON THE NETFLIX SHOW INVENTING ANNA
When you’re facing a federal issue, you need an attorney whose going to be available 24/7 to help you get the results and outcome you need. The value of working with the Spodek Law Group is that we treat each and every client like a member of our family.
CPA Criminal Tax Exposure
Licensed CPAs have rights and duties of their own that they need to be aware of when a client becomes the subject of a criminal investigation. At times, when a client learns of a criminal investigation, fingers point in the CPA’s direction – especially when the client is trying to save themselves from penalties. The time to be on the lookout for red flags that might indicate that a client is being dishonest or exhibiting tax reporting behavior that has the potential to open the client and possibly the CPA up to investigation is during client intake and tax interviews.
As a CPA, it is best to resist the desire to be the sympathetic all-knowing ear their clients are looking for concerning possible criminal tax issues. Best practice is to terminate the interview immediately if red flags are encountered and advise the client to enlist an experienced Criminal Tax Representation Attorney. Pursuant to the terms of a Kovel arrangement, CPAs can resume representation (under better circumstances under protection of the attorney-client privilege with regards to any future communication. Indeed, a CPA’s license is often their most valuable asset. Involving a Criminal Tax Representation Attorney can mean the difference between assisting a client in resolving their potential or actual criminal tax problems and avoiding jail time or the CPA facing charges as an accomplice to a substantive tax crime. The latter could be a career ending event.
What risks are involved for the CPA?
There’s a long list of misdemeanor and felony charges if tax preparers are not prudent. The legislation is structured in such a way that he or she can be simultaneously charged with both the greater and any lesser-included offenses that fall under the definition of the greater offense. In addition, a single action may actually be charged as a violation of multiple criminal tax statutes.
These are the most common tax crimes a CPA or taxpayer can be convicted of:
Aiding and abetting a tax offense
Filing a false, fraudulent or fictitious claim
Submitting a fraudulent or false statement
Conspiracy to commit a crime or defraud the United States government
Participating in the filing of a false return
On top of huge fines and penalties, conviction can come with federal prison time, time in a halfway house, house arrest, or some combination of these.
If you are looking for a lawyer that listens, is aggressive where needed, and holds his word above all else, Todd is the best pick. I had hired multiple attorneys prior to hiring the Spodek Group for a white collar case. The first thing that stood out to me was the cost, as anyone going through the process and dealing with the system, money was tight at that time - especially after hiring and firing multiple lawyers. The cost was not as high as others which was definitely a plus. Todd's intake process was also unlike other attorneys. He took the time to actually listen. He cared. He was trying to put himself in my shoes while I was explaining the situation to him and he really took the time to understand the whole situation. Other lawyers will give you 15 mins and send you a retainer agreement. Not Todd, I think he spent almost two hours with me as I was explaining everything.Not only was he great during the onboarding process, he was supportive and very informative through the entire plea process and eventually sentencing. After hiring him, I asked if I should hire a prison consultant, he told me to save my money as he would do everything they would. He was right and held up to his word. Later on I would hear from others that went with the prison consultants that they were a waste of money - I am glad I listened to Todd!When it came time for sentencing, two days prior to sentencing, the prosecutor tried increasing my proposed prison time by almost double - apparently a normal move. Todd and his team worked with me non-stop through the weekend prior to sentencing to ensure that I was not given additional prison time. Again, he took the time to listen and came up with a strategy to explain the case with great detail.Unfortunately, I did plead guilty as that was my best option. Todd and his whole team wrote up nearly 300 pages of a summary of what happened and why I should not be given prison time. If I breakdown the amount I spent with Todd versus the amount of work that I saw being done, I am shocked I was not charged four times as much. The other benefit was, a lot of criminal defense lawyers were just a single attorney with a paralegal or two. Todd had a team of people that I dealt with (5-7 people that I interacted with), but he was ALWAYS accessible. It would never take him more than an hour to reply unless he was in court.I was sentenced to prison and I was emotionally distraught. Todd and his team did whatever they could even after sentencing to make sure I was alright. He personally stayed in touch with my family to ensure I was doing alright and offered support to them. Most lawyers would consider the job complete at sentencing, not Todd.After prison, Todd still spent time with me to make sure I was on the right track and avoiding any potential risks in the future. He has also been giving advice on how to navigate probation etc and has not been looking at the clock for billing.Although I wish I had never been arrested in the first place, I am glad I had Todd and his team in my corner. Without them I likely would have had to spend a lot more time in prison than I did.Thank you, Todd, and the entire Spodek Law team, for helping turn what was a nightmare into a manageable situation!
I am immensely grateful to the entire team at Spodek Law Group for their unwavering dedication and exceptional expertise throughout my case. From our initial consultation to the final resolution, their professionalism and tireless advocacy made all the difference. Their strategic approach and attention to detail instilled confidence in me every step of the way.Thanks to their hard work and commitment, we achieved a truly favorable outcome that exceeded my expectations. Not only did they navigate the complexities of my case with precision, but they also provided invaluable support and guidance during what was undoubtedly a challenging time. I cannot recommend Spodek Law Group highly enough, especially attorneys Todd Spodek and Claire Banks; they are beacons of excellence in the legal profession.YSP.
Todd, Ralph and Alex are amazing. Helped my husband get from a double digit number with multiple charges to a single digit, by the time I blink he will be out. They very professional and help with all your needs. They dealt with my anxiety and worry very well and they understand that your family member needs to get home as soon as possible.
Believe every single review here about Alex Z!! From our initial consultation, it was evident that Alex possessed a profound understanding of criminal law and a fierce dedication to his clients rights. Throughout the entirety of my case, Alex exhibited unparalleled professionalism and unwavering commitment. What sets Alex apart is not only his legal expertise but also his genuine compassion for his clients. He took the time to thoroughly explain my case, alleviating any concerns I had along the way. His exact words were “I’m not worried about it”. His unwavering support and guidance were invaluable throughout the entire process. I am immensely grateful for Alex's exceptional legal representation and wholeheartedly recommend his services to anyone in need of a skilled criminal defense attorney. Alex Z is not just a lawyer; he is a beacon of hope for those navigating the complexities of the legal system. If you find yourself in need of a dedicated and competent legal advocate, look no further than Alex Z.
I don’t know where to start, I can write a novel about this firm, but one thing I will say is that having my best interest was their main priority since the beginning of my case which was back in Winter 2019. Miss Claire Banks, one of the best Attorneys in the firm represented me very well and was very professional, respectful, and truthful. Not once did she leave me in the dark, in fact she presented all options and routes that could possibly be considered for my case and she reinsured me that no matter what I decided to do, her and the team will have my back and that’s exactly what happened. Not only will I be liberated from this case, also, I will enjoy my freedom and continue to be a mother to my first born son and will have no restrictions with accomplishing my goals in life. Now that’s what I call victory!! I thank the Lord, My mother, Claire, and the Spodek team for standing by me and fighting with me. Words can’t describe how grateful I am to have the opportunity to work with this team. I’m very satisfied, very pleased with their performance, their hard work, and their diligence.Thank you team!
I recently had Spodek Law Group represent me for a legal matter in NYC and I am thoroughly impressed with their services.Alex Zhik secured the best possible outcome for my case.It was a seamless journey from the initial consultation to the resolution of my legal matter. From the moment I spoke to Todd about my case, his enthusiasm to help was evident, setting a positive tone for the entire experience. The efficiency and professionalism displayed by the team is commendable.A particularly noteworthy aspect of their service is their user-friendly portal to upload your documents/evidence. This not only simplified the process, but showcases their commitment to streamline the client experience.Lastly, in an industry where legal fees can often be a concern, I found their pricing to be very reasonable, making needing legal assistance feel accessible and stress-free.I am grateful for their support and wouldn't hesitate to turn to them again in the future.
It is critical to work with effective legal counsel. As Criminal Tax Representation Attorneys, we are uniquely qualified to advise on such matters and get you the best possible results.
According to the AICPA tax division’s criminal practice guide, under certain circumstances it is advisable to seek representation on the basis of the nature of the services performed, the questions asked, or any other concerns the CPA may have. The ripest area of concern is when ethical requirements for CPAs in the face of possible criminal tax issues raised by a current or potential client. In such a scenario, the CPA needs to evaluate whether a potential conflict of interest exists with respect to continuing to service that client.
With the possibility of jail sentences and large financial penalties, a CPA should resist the urge to fully investigate a potential criminal tax matter. The fact is that a CPA can be forced to testify against their client. Since there is a fiduciary relationship between client and CPA, the CPA is can be the most damaging witness the government can present in a case. On the other hand, a tax attorney enjoys special privileges that are in place to protect potentially incriminating communications by the taxpayer from being disclosed and that also prevent documents prepared in anticipation of trial from being discovered.
With the stakes so high, and heavy potential consequences to both the client and CPA, it is important that CPAs are aware of the legal and ethical issues surrounding criminal investigations and prosecutions. That way, they can know when a referral is needed, and also protect themselves from their own ethical, civil and criminal exposure.
What is Willfulness in Criminal Tax Exposure for CPAs?
Under the law, willfulness is defined as a voluntary and intentional violation of a known legal duty. There are defenses which focus on preventing the government from being able to establish this element. These include mistake, inadvertence, uncertain legal duty, negligence, reliance on others and diminished mental capacity.
It is worth noting that willfulness is often the easiest element of a tax crime to defeat because the government is obligated to prove to a jury what he defendant’s state of mind was at the time of the offense. Frequently, the government is forced to resort to circumstantial evidence to establish this element. Because of this, the government usually will refrain from prosecuting unless a pattern of complained of behavior can be established. Such a pattern in and of itself tends to indicate to a jury that the behavior was intentional and willful as opposed to mere negligence, for example.
More Defenses for Criminal Tax Exposure for CPAs
In general, the defenses used to fight tax charges by Tax Attorneys focus on the protecting of the client’s Fifth Amendment privilege against self-incrimination and their Fourth Amendment privilege against unreasonable searches and seizures.
Elements such as the defendant taxpayer’s lack of education and personal difficulties, including health problems, advanced age or family dilemmas are usually not considered defenses per se. Nevertheless, these may be used to attempt to discourage prosecution as they could make it more difficult to convince a jury to convict by invoking sympathy for the defendant.
If you are a CPA and you are facing Criminal Tax Exposure, call us today for your free consultation.
