Will tax evasion affect the green card status?
Whether tax evasion will affect the green card status. Contribution from lawyer Huang Huili My friend opened a company, but reported losses. The IRS found that he had evaded more than 200,000 US dollars in taxes. He would...
Submission from Lawyer Huang Huili
My friend opened a company, but reported losses. The IRS found that he evaded more than 200,000 US dollars in taxes. Will this affect his green card status?
It depends on whether your friend’s tax evasion is an honest mistake or intentional fraud. In 1992, the Japanese-born Kawashima couple, residents of California, declared a loss on the shares of Nikon Serbutsu Kagaku Center Inc. they owned, resulting in a tax evasion of $245,126. After investigation by the Internal Revenue Service, it was discovered that his declaration was tax fraud. In 1997, an immigration judge convicted him of committing a federal felony (Felonies), revoked his green card, and deported him. The Kawashima couple immediately proposed the above, which was rejected by the Federal Ninth Circuit Court of Appeals. The Kawashima couple appealed to the Federal Supreme Court. The Supreme Court accepted the case on November 7, 2011 and launched a heated debate. Finally, it upheld the original verdict by a vote of 6 to 3. On February 21 this year, it was sentenced to revoke the Kawashima couple's green cards and to leave the country and return to Japan within a time limit. The Supreme Court cited 26 U.S. C 7206(1) and 7206(2), accusing Mr. Kawashima of signing false tax returns, while Mrs. Kawashima was accused of "conspiracy" and "concocting" false tax returns. For willfully false tax return filers and their "aid or assistance", if the amount of tax evasion exceeds $10,000, their fraud (Fraud or Deceit) will constitute and be punished as a felony. If your friend fails to report the correct tax amount simply because of lack of knowledge, there should be no penalty or revocation of his green card as long as he makes a supplementary payment.
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