Tax evasion is one example of a serious white-collar crime. Tax evasion differs from tax avoidance in the sense that evasion relies on unlawful methods. Outlined below are four common examples of tax evasion.
Cryptocurrencies have taken off in recent decades, with many businesses opting to use these currencies for transactions. This in itself is not unlawful, but businesses need to ensure that they are still honoring their tax obligations.
As cryptocurrency gives a sense of anonymity because it is not easily traced, some business owners can fall into the trap of believing they do not have to pay tax on it. Business owners must accurately report cryptocurrency earnings on their tax returns.
Another common example of tax evasion involves using a third party to hold onto business earnings. For example, if a business owner takes profits for the year and transfers them to a friend or family member’s account instead of keeping the money in the business accounts.
Transferring the money to a separate and unrelated account to the business does not change the fact that the money was generated by the business, and is thus taxable.
These are just two of the more common examples of tax evasion. If you’re facing charges of this nature then the matter is serious. Seek legal guidance to explore your criminal defense options.
]]>There are many ways to limit your business risk, such as understanding your obligations as an employer. Putting the right insurance policies in place may be another way to prevent problems that could jeopardize your operations.
California cannabis businesses must maintain commercial general liability insurance from a provider authorized to do business in the state. Your general liability policy can guard against financial loss if you are found liable for another’s injuries or damages.
Nearly all employers must also obtain workers’ compensation insurance to address employee injuries and comply with state law.
Those who own and operate a business involving marijuana need as much protection as possible. Depending on your specific field, these insurance policies can safeguard your interests even more.
If transportation is a large part of your operations, commercial auto insurance can protect you from product loss in an accident. It can also safeguard your interests if someone harmed in the crash seeks personal injury and property damages.
As you can see, the right insurance policies combined with sound business practices can reduce your risks. Guidance from a legal representative can help you identify all threats to your company and take appropriate steps to address them.
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