Tax planning and preparation services can help you avoid making tax mistakes. Read on for a recent tax evasion case that could have been avoided with accurate bookkeeping and tax planning.
“The grass is never greener on the other side.”
Tax Evasion: It’s Not Worth It
Dick Brocato and his wife Judith, owners of Superior Lawn Service in Beaumont, Texas, have each been sentenced to 33 months in prison after a jury found them guilty of conspiracy to defraud the United States for purposes of impeding the government functions of the IRS and six counts of making and submitting false tax returns.
The Brocato’s, who started their business in 1981, grew it to include eight full-time teams of lawn care specialists. The couple under-reported their income by $503,281 in 2012, $687,534 in 2013 and $513,498 in 2014.
To facilitate their scheme, the Brocato’s cashed numerous checks from customers instead of depositing them into the company’s accounts, then failed to report the cash on their tax returns. The IRS has not charged Brocato’s son, employee Brandon, with a crime.
In addition to the prison sentence, the Brocatos will pay restitution in the amount of $617,762 to the IRS and fines of $15,000 each.
Tax Planning: A Better Solution
We at Palma Financial are experts in IRS tax problem resolution and help taxpayers with their problems every day. Our tax planning services can help you save on taxes while maximizing your returns. There is always an answer, so give us a call! 925-307-5454 or click here to set up your appointment today.
You will be glad you did!!!