Criminal Tax Fraud

For more than half a century,Kostelanetz & Fink, LLP, has enjoyed a national reputation as the preeminent law firm engaged in defending tax fraud prosecutions.  Our extensive tax experience serves us well in representing clients faced with criminal tax investigations conducted by the IRS, the Tax Division of the Department of Justice, or local United States Attorneys' offices.  Kostelanetz & Fink attorneys have represented thousands of corporations and individuals nationwide in cases including allegations of failure to report income, fraudulently overstated deductions, failure to collect and pay employment taxes, preparation of false returns, failure to file returns, presentation of false documents to the IRS, conspiracy to impede or obstruct the IRS, as well as other tax-related crimes.

A few of our many successes include:

  • Obtaining an acquittal on all 36 counts brought against an accountant who prepared tax returns on the theory that wages and salaries cannot be legally taxed.  The case was a retrial of the same charges that had resulted in a hung jury, split six to six.  Experts in the field, and the government itself, called the result, "astonishing."
     
  • Winning the acquittal of a lawyer accused of committing tax fraud in a land purchase transaction by allegedly hiding his ownership in a nominee.
     
  • Obtaining the dismissal of all charges against the former Vice Chairman of Tax at KPMG, LLP, in what was described as the largest tax shelter prosecution in United States history, on the ground that the government had wrongfully interfered with his (and other defendants') right to advancement of legal fees by KPMG.
     
  • Convincing the Department of Justice not to prosecute an NBA referee for tax evasion (our client, one of approximately a dozen NBA referees referred by the IRS for prosecution on identical grounds, was the only one not charged).
     
  • Obtaining the acquittal of a businessman accused by six different witnesses of paying bribes which were falsely characterized as legitimate business expenses.
     
  • Convincing, on the eve of trial, the United States Attorney's Office for the Southern District of New York to dismiss with prejudice its outstanding tax fraud indictment of a prominent Manhattan landlord.
     
  • Suppressing all statements made by our client to the government, on the ground that the government coerced the statements by pressuring the client's former employer to cease paying the client's legal fees if the client refused to be interviewed by the government.
     
  • Persuading the IRS not to prosecute a garment manufacturer who had failed to file tax returns for six years, on the ground that he was distracted by turmoil in his business and personal life.