would my case be considered tax fraud?

M

Mia321014

Registered Users (C)
Hello, well, this is my husband's case actually.
Hopefully someone can help me clear my mind.

my husband is about to apply for citizenship based on being a 5 year permanent resident.
There's a question on the N-400 that asks if " have you ever failed to file a federal, state, or local tax return since you became a permanent resident?" and my husband didn't file the taxes for 2005, and 2006. He filed them until 2007 and everything was fine. Even got some money back since he didn't make that much during those years and he got witholded quite some money.

But, during 2004........he was living with a woman that has two children. They were basically boyfriend and girlfriend....and my now husband used to always buy a lot of things for the kids. So on 2005 january.....the woman told him to put the kids on his income because she hadn't work at all and thought that it was fair to him since he helped her support the children. Back then, my husband was very ignorant.....and thought "OK", "I'll include them". So, the irs gave him about $1,400.00 at first.....then received a letter asking him to prove that he had supported the children. At that time, the woman and him went their own ways and my husband never saw her again. He didn't have any proof that he had supported the kids as he never saved any receipts. So the IRS charged him back about $800....plus interest...and penalty for not paying on time. They had already spend the money together.

He didn't have money to pay right away....he thought he would pay on the 2005 income tax....but one of his employers never gave him a w-2 and he didn't file the 2005 income tax. Same thing happened with the 2006.....until 2008, it was when he filed all 3 because he went to confront his ex employer and his wife finally decided to send him to an insurance co to get his w-2. Before, the ex-employer would always say he sent it...or that he would send another one and my husband was always waiting for it. On 2008......he finally paid the debt and stayed with the rest of the return.

Since he needs to send all of the past five years' tax return....he needs to show 2004......in which it says that he got credited for 4,500 dollars....then it was taken away......So the immigration officer might ask why that happened........and he might think that my husband tried to commit tax fraud including on the tax return kids that weren't his in order to get more money.

Should he file or not? Pls give some advice. Thanks in advance and sorry for making this too long
 
Mia321014 said:
Hello, well, this is my husband's case actually.
Hopefully someone can help me clear my mind.

my husband is about to apply for citizenship based on being a 5 year permanent resident.
There's a question on the N-400 that asks if " have you ever failed to file a federal, state, or local tax return since you became a permanent resident?" and my husband didn't file the taxes for 2005, and 2006. He filed them until 2007 and everything was fine. Even got some money back since he didn't make that much during those years and he got witholded quite some money.

But, during 2004........he was living with a woman that has two children. They were basically boyfriend and girlfriend....and my now husband used to always buy a lot of things for the kids. So on 2005 january.....the woman told him to put the kids on his income because she hadn't work at all and thought that it was fair to him since he helped her support the children. Back then, my husband was very ignorant.....and thought "OK", "I'll include them". So, the irs gave him about $1,400.00 at first.....then received a letter asking him to prove that he had supported the children. At that time, the woman and him went their own ways and my husband never saw her again. He didn't have any proof that he had supported the kids as he never saved any receipts. So the IRS charged him back about $800....plus interest...and penalty for not paying on time. They had already spend the money together.

He didn't have money to pay right away....he thought he would pay on the 2005 income tax....but one of his employers never gave him a w-2 and he didn't file the 2005 income tax. Same thing happened with the 2006.....until 2008, it was when he filed all 3 because he went to confront his ex employer and his wife finally decided to send him to an insurance co to get his w-2. Before, the ex-employer would always say he sent it...or that he would send another one and my husband was always waiting for it. On 2008......he finally paid the debt and stayed with the rest of the return.

Since he needs to send all of the past five years' tax return....he needs to show 2004......in which it says that he got credited for 4,500 dollars....then it was taken away......So the immigration officer might ask why that happened........and he might think that my husband tried to commit tax fraud including on the tax return kids that weren't his in order to get more money.

Should he file or not? Pls give some advice. Thanks in advance and sorry for making this too long
Click to expand...


First of all, he does not need to send any returns since he is filing based on being a PR for five years. The returns might need to be sent to the USCIS only if he is filing based on marriage. Second of all, it sounds like he has resolved his situation with the IRS. This tells me that he filed all his required returns and does not owe any more taxes. Is this correct?
 
At my interview, I was asked if I paid my taxes. Since he's gonna be under oath, he must tell the truth. That would include explaining that he has had issues with the IRS, but that they're since resolved (and show proof of that). As long as your husband has cleared any outstanding debt with the IRS and has received a document stating that, he won't be denied on those grounds. Were it to be tax fraud, the IRS would have gotten on his tail long before he even had to ask that question.

I would still advise that he see a professional tax accountant.
 
Now I'm concerned

I'm applying this year also based on 5 years residence. I filed my 2007 taxes late - 4 months after the extension of mid October 2008.

But I answered no to the question "have you ever failed to file a tax return" As I understand the question, and I could be wrong, its simply have you failed to file a return, I haven't! I filed late. The question does not ask within a specific time frame i.e. have you have failed to file a tax return in any tax year?

So maybe some more views on this would clear it up. If I should indeed be answering yes to this question as a result of filing late for 2007 I will change it to yes.

I think we have similar issues. For your husbands case, I don't think, from what you say, there is any issue of tax fraud. Just my opinion.
 
Mia321014

These things with taxes happen all the time. Just because IRS asked him pay back money because he didn't have receipts doesn't mean fraud.

there are two issues -
1. dispute on a return that has been resolved now.
2. no returns filed for couple of years.

I wouldn't worry about #1 even a bit. For #2 - you have answer "yes" to the question about tax returns and explanation to why it was not filed. Even #2 has been resolved now.
I would get transcripts for all these years and use them instead of actual returns. There is no need to say or explain anything regarding #1.
 
"have you ever failed to file a tax return" refers specifically to the word EVER meaning: at all, at anytime, in any way. SO basically, what we are talking about here is filing LATE. Now if he had not filed still, I would say you would have to answer YES to the question.

In this case it applies the response: NO.- :)
 
Mr Vertigo said:
At my interview, I was asked if I paid my taxes. Since he's gonna be under oath, he must tell the truth. That would include explaining that he has had issues with the IRS, but that they're since resolved (and show proof of that). As long as your husband has cleared any outstanding debt with the IRS and has received a document stating that, he won't be denied on those grounds. Were it to be tax fraud, the IRS would have gotten on his tail long before he even had to ask that question.

I would still advise that he see a professional tax accountant.
Click to expand...

I disagree, it sounds like he has resolved his problems with IRS and paid the money owed.
So if asked "have you paid your taxes" he can honestly reply yes under oath with no need to explain anything.
 
Well, thanks everybody for your opinion. It surely has cleared my mind alot.

My husband has the application ready. He will be as honest as he can but won't explain anything that he doesn't have to, unless he gets ordered to do so.

On part 10....we are going to answer YES...and he will explain the situation with his ex-boss. I take it as "have you ever failed to file a required fed, st, or loc..income tax by april 15?" so he has to answer yes. Everything is done though...but I don't really understand much as far as the REQUIRED part mean. as far as i understand, on 2008....it wasn't required to file a tax return if a couple earned less than $17,900. On 2005 and 2006 he was single....i know he earned about $5,000 in 05..and about $7,000 in 06. I wish I could know the figures for 05 and 06 as i do for 2008.

Hopefully, the IO won't take it wrong. I know my husband maybe could have found the w-2 some other way...maybe through the IRS...but he was ignorant and thought his ex-boss had to provide it.

As far as 2004.....hopefully they won't put lots of attention regarding the $4,500 EIC credited then taken away.....if they do, I guess he has to explain everything.
The problem with that too, is that he doesn't remember the kids' name nor her name. It happened 5 years ago....and I know he has bad memory.....maybe we'll try to get in contact with that woman, if it's possible at all....so there won't be any problems.
 
Unfiled Taxes ...

I'd really encourage you to sort it out with the IRS if you haven't filed as required.

Unlike the USCIS at the Citizenship level the IRS are pretty good about catching missed returns eventually. Once they get their teeth into you they never go away.

He may not even owe money by the sound of it but it is worth filing those years anyway as best you can. Don't think you want to pay an atty or tax preparer but maybe you can find someone at the community or even church level to look over whats needed.

It's usually not smart to call the IRS saying you haven't filled and ask advice!

Disputes with the IRS over tax returns are pretty normal and not a big deal. Some people actually have a dispute with the IRS every year and like to feel they got the best possible deal. What is important is that when it's resolved the IRS gets the agreed modified taxes. If they really think it's criminal and fraud then they would file charges. That is pretty rare compared to disputes and audits even that eventually wind up in court and get resolved.

It's the responsibility of citizens or want to be citizens to pay their taxes is where the USCIS is interested. The amount of taxes is what the IRS is more attentive to.
 
Last edited by a moderator:
You must log in or register to reply here.
Top