Serious consequences may occur when the IRS decides to accuse a Miami resident of tax fraud. A tax fraud conviction could result in very large fines, penalties or even jail time. It is important for Florida residents embroiled in tax controversies to consult with experienced Miami tax law attorneys who will aggressive protect a taxpayer's rights. An experienced tax law attorney will know how to deal with complex audits and federal grand jury subpoenas.

One Florida woman was recently sued by the Justice Department in connection with an alleged tax fraud scheme. Authorities say that the woman was promoting a scheme that showed people how to claim false income tax returns and that her customers sought up to $6 billion in false returns, none of which were paid. The lawsuit asks for an injunction against the woman to prevent her from advertising the alleged tax fraud scheme.

The 23-page petition from the government claims that the Florida woman increases the administrative costs of the government by encouraging others to file returns that claim false amounts of withholding. The petition alleges that the harm caused by the woman's tax scheme is widespread and that the scheme adversely affects the woman's customers, the taxpaying public and the United States Treasury.

It is unclear whether the Justice Department petition will be granted or what impact it will have on the Florida woman's activities which seem to stem from an anti-government ideology inspired by Ayn Rand. Local news agencies have been unable to contact the woman for comment.

Source: The News Herald, "Feds move to stop bogus tax returns," Chris Olwell, Oct. 13, 2011