Source: http://federaltaxcrimes.blogspot.com/2016/11/charging-decisions-for-trust-fund-tax.html
Timestamp: 2017-08-21 04:42:02
Document Index: 785975582

Matched Legal Cases: ['§ 7202', '§ 7201', '§ 7206', '§ 7212', '§ 371', '§ 371', '§ 7201', '§ 7201', '§ 7202', '§ 7201', '§ 7201', '§ 6672', '§ 7201', '§ 6672', '§ 7201', '§ 6671', '§ 6672']

Federal Tax Crimes: Charging Decisions for Trust Fund Tax Violations (11/17/16)
− Willful Failure to Collect, Account For or Pay Over Tax (26 U.S.C. § 7202)
− Tax Evasion (26 U.S.C. § 7201)
− False Return (26 U.S.C. § 7206(1))
− Obstruction (26 U.S.C. § 7212(a))
− Conspiracy to Defraud (18 U.S.C. § 371)
I add to that list the offense conspiracy under 18 U.S.C. § 371 to commit either tax evasion § 7201 or willful failure to collect and pay over § 7201. The difference between conspiracy to defraud listed by the authors and the offense conspiracy is important and, in a given fact pattern, both could be charged, usually in the same conspiracy count.
The DOJ CTM Guidance, here, on this choice sparse:
9.02 TAX DIVISION POLICY [ON 7202 PROSECUTIONS]
As an alternative to charging § 7202, prosecutors may charge violations of the duty to pay with respect to both the employee and employer portions of employment tax; for example, by charging evasion in violation of 26 U.S.C. § 7201. n7 See generally United States v. McKee, 506 F.3d 225, 233-34 (3d Cir. 2006); United States v. Butler, 297 F.3d 505, 509 (6th Cir. 2002).
fn7 If evasion of payment, in violation of § 7201, is charged, prosecutors should take care to distinguish between the employment tax owed by the employer and the civil trust fund recovery penalty that can be assessed against responsible persons under § 6672. Cf. United States v. Farr, 536 F.3d 1174 (10th Cir. 2008) (vacating § 7201 evasion count on the ground the indictment had been constructively amended, where the indictment alleged the defendant evaded employment tax, but further alleged, inaccurately, that the evaded tax was personally owed by the defendant (as opposed to the corporation), and the jury was instructed that the defendant could also be convicted of evading a § 6672 civil trust fund penalty she personally owed); United States v. Farr, 591 F.3d 1322 (10th Cir. 2010) (holding that double jeopardy did not bar retrial); United States v. Farr, 701 F.3d 1274, 1287-88 (10th Cir. 2012) (holding that the defendant could be charged, and was properly convicted, under § 7201, with evading a trust fund recovery penalty (which is treated as a tax, see 26 U.S.C. § 6671) assessed under § 6672).