Tax evasion is not a cavalier offense – and can be expensive. Anyone who gives false information at the tax office or does not keep revenue must expect sensitive punishments. But when is something considered tax evasion, which sanctions threaten specifically – and how can you protect yourself? An overview of the legal consequences and when even in prison.
What is tax evasion?
Tax evasion exists if someone gives the tax office false or incomplete information to save taxes. This is regulated in § 370 of the Tax Code (AO). Classic cases are, for example, the silence of income, pretending expenses or not submitting a tax return despite obligation.
Tax evasion must be differentiated from the smooth tax reduction (§ 378 AO). The latter exists if someone violates their tax obligations out of gross negligence – for example because they have lost evidence or disregarded deadlines, without fraudulent intent.
Black labor also falls under tax evasion, since no wage tax is paid. Manipulative coffers or bogus companies that issue invoices for services are also relevant.
What punishments are in the case of tax evasion?
Tax evasion is not a cavalier offense, but a criminal offense – and is punished accordingly in Germany. The legal basis provides Section 370 of the Tax Code (AO). Anyone who deliberately provides false or incomplete information about the tax office in order to save tax must expect a fine or a prison sentence of up to five years. In particularly severe cases, up to ten years in prison are possible.
Whether there is a particularly difficult case depends on various factors. These include, for example, the amount of the evaded taxes, a systematic or gang -like procedure or falcating and destroying evidence. The dishes are often based on certain threshold values in terms of penalty: for amounts under 50,000 euros, it usually remains a fine. From a evasion of more than 50,000 euros, a prison sentence – often still on probation – is conceivable. If the limit of 100,000 euros is exceeded, a prison sentence without probation is increasingly likely. From one million euros, the case law regularly assumes an unconditional prison sentence.
There is a way to avoid criminal offenses in the voluntary disclosure. Anyone who voluntarily and completely discloses their tax evasion before the authorities find out in other ways can remain punitive. However, the voluntary disclosure must be carried out on time, comprehensive and correct. In addition, a flat -rate penalty surcharge is between ten and twenty percent from a backing amount of 25,000 euros, which is due in addition to the additional payment.
How does a tax criminal proceedings work – and how can you protect yourself?
A tax criminal proceedings usually begin with the existence of initial suspicion of a tax crime, such as tax evasion. Even slight indications can be sufficient to initiate an investigation. The investigation is carried out by the finance and criminal offense office of the tax office or the public prosecutor. As part of the procedure, measures such as house searches, the securing of documents or the interrogation of witnesses can take place. The accused usually receives a message about the initiation of the procedure, unless this would endanger the investigation.
The duration of a tax criminal proceedings can vary greatly and depends on the complexity of the case and the utilization of the authorities. It can range from a few weeks to several years.
In order to protect yourself from the consequences of a tax criminal proceedings, it is advisable to claim legal assistance at an early stage by a specialist lawyer for tax criminal law. This can develop the defense strategy, apply for inspection and take over communication with the authorities. In addition, attention should be paid to correct and complete bookkeeping in order not to be suspected of a tax crime.
Editor finance.net