Criminal Tax Fraud in the Third Degree: NY Tax Law 1804

Criminal Tax Fraud in the Third Degree, pursuant to New York Tax Law 1804, is a “D” felony. As such, NY Tax Law 1804 is a white collar larceny crime punishable by up to seven years in state prison. More specifically, the sentence range is up to two and one third to seven years in custody for a first time offender. If this is not your first felony conviction, then you may face a mandatory minimum term of incarceration between two to four years with a maximum of three and one half to seven.

Setting aside the potential sentences relating to a conviction for Criminal Tax Fraud in the Third Degree, to understand the crime you must have a grasp on the statute that defines it. In brief terms, you are guilty of Criminal Tax Fraud in the Third Degree if you commit a “tax fraud act.” Defined in the Tax Code of New York, a “tax fraud” act includes such actions as intentionally providing materially false information on a tax return or during a tax audit. Alternatively, it could be failing to intentionally pay taxes owed to the State of New York. Regardless, your actions must be intentional with the intent to defraud. Assuming your conduct has established these elements, you must have defrauded New York during a one year period in an amount greater than $10,000, but no more than $50,000.

In other words, if your tax liability was $100,000, but you intentionally defrauded the State of New York by filing a materially false return indicating you only owed $75,000, then you would have benefited or stolen by paying $25,000 less than your actual tax liability. It is important to recognize that you need not withhold money to be guilty of this crime. Receiving an excessive return in the same amount would also establish this offense.

Because the tax crimes set forth in the Criminal Tax Fraud statutes involve the wrongful withholding or obtaining of moneys from the state government, there are often other crimes that prosecutors may charge you with. While it is critical to discuss these offenses and their ramifications with a criminal lawyer, the following are some of these crimes.

• Grand Larceny: New York Penal Law Article 155
• Criminal Possession of Stolen Property: New York Penal Law Article 165
• Offering a False Instrument for Filing: New York Penal Law Article 175
• Falsifying Business Records: New York Penal Law Article 175
• Forgery: New York Penal Law Article 170

Not only can a Criminal Tax Fraud arrest or indictment lead to a long stay “upstate,” a conviction can certainly derail your career. Whether you work for the Board of Education, you are a member of the Bar of the State of New York, or you are licensed in connection to FINRA, an investigation, arrest, indictment or conviction for Criminal Tax Fraud will likely start another collateral investigation that can be equally devastating. Do not procrastinate or avoid the reality of the allegations against you. Consult with a New York Criminal Tax Fraud Lawyer. Vet your possible defenses and proceed with that defense to vigorously defend your liberty as well as your career and the future of your family.

• New York Criminal Tax Fraud Information Page
• Theft Convictions: Collateral Consequences
• Theft Crimes Sentencing Guidelines
• Defenses to Theft & Larceny

To further educate yourself on Criminal Tax Fraud, please review the main section for these crimes on our website. Additionally, CrottySaland.Com, NewYorkCriminalLawyerBlog.Com and NewYorkTheftAndLarcenyLawyersBlog.Com each have a wealth of information on New York white collar crimes ranging from analysis of statutes and legal decisions to commentary on criminal cases in the New York City area.

Educate yourself now. Start your defense today.

Call the Former Manhattan Assistant District Attorneys & Tax Crime Defense Attorneys at (212) 312-7129 or contact us online today.