Fort Worth Tax Fraud Lawyers

Welcome to Spodek Law Group. Our mission is simple: we believe everyone deserves a fighting chance when the government comes after them. If you're reading this, something happened that made you search for tax fraud lawyers in Fort Worth. Maybe the IRS sent a letter. Maybe federal agents showed up at your business. Maybe your accountant called with news that made your stomach drop. Whatever brought you here, you need to understand something most people don't realize until it's too late.

Fort Worth sits in the Northern District of Texas - the same federal district as Dallas. Like all of Texas, Fort Worth has no state income tax. You might think that makes it safer. You might think no state prosecution means less exposure. You'd be wrong. But here's what makes Fort Worth different from Dallas, even though they share a district: Fort Worth is the defense contractor capital of Texas. Lockheed Martin's massive F-35 production facility. Bell Helicopter. L3Harris. When your tax fraud intersects with federal defense contracting, you're not just facing the IRS. You're potentially facing the Department of Defense Inspector General, the FBI, and False Claims Act investigations that multiply your exposure exponentially.

Most people don't realize what happens when tax fraud touches defense contracts. They think tax evasion is an IRS problem. File some amended returns, pay some penalties, move on. That's not how it works in Fort Worth. When you underreport income connected to federal contracts - even indirectly as a subcontractor - you're potentially defrauding the United States government. That's not just tax fraud. That's federal contractor fraud. Wire fraud. False Claims Act violations. The agencies that investigate these cases don't just share information with the IRS. They coordinate prosecutions. You thought you had a tax problem. You actually have a national security problem. If you're facing similar issues in other cities, see our guides on Dallas tax fraud lawyers, Houston tax fraud lawyers, or San Antonio tax fraud lawyers.

Texas's No-Income-Tax Reality

Heres the thing most people dont understand about tax fraud in Fort Worth. Texas is one of only nine states with no income tax. Florida, Nevada, Washington, Wyoming, South Dakota, Alaska, Tennessee, and New Hampshire are the others. But Texas is the largest. Fort Worth alone has nearly a million residents. The Dallas-Fort Worth metroplex is the fourth largest metro area in America. And everyone here faces the same reality: when it comes to income tax fraud, there only one prosecutor that matters. The federal government.

In states like New York or California, tax fraud means facing dual prosecution. Federal prosecutors build there case while state prosecutors build theres. Sometimes they coordinate. Sometimes they compete. Resources get split. Attention gets divided. A state plea deal might affect the federal calculation. There options. There room to manuver.

But in Fort Worth? There only the Northern District of Texas. IRS Criminal Investigation. FBI Financial Crimes. Thats it. Every investigator, every prosecutor, every agent - they all work for one team. There all focused on one outcome: federal conviction. There no state case running parallel. There no state plea deal to muddy the waters. Its just you versus the full weight of the federal government.

And dont think that means less resources dedicated to your case. It means MORE. The resources that would be split between federal and state in other states are concentrated entirely on federal prosecution here. IRS-CI Fort Worth dosent have to share information with a state tax agency. They dont have to coordinate investigations. They can move faster. They can focus deeper. And in Fort Worth specifically, they coordinate with defense industry investigators who have there own expertise and resources.

Defense Contractor Capital: Where Tax Fraud Meets National Security

Fort Worth isnt Dallas. Despite sharing the Northern District, these cities have completely different economic foundations. Dallas is corporate headquarters - Fortune 500 companies, telecommunications giants, financial services firms. Fort Worth is defense contractors. Lockheed Martin's F-35 Lightning II production facility employs thousands. Bell Helicopter designs and manufactures military aircraft. L3Harris, Elbit Systems, and dozens of smaller defense contractors operate throughout the region.

When your tax fraud connects to defense contracting, everything changes. Underreporting income from a civilian job is tax evasion. Underreporting income connected to federal contracts - even as a subcontractor, even as a supplier - is potentially defrauding the United States government. Thats a different category of crime. Different investigators. Different penalties. Different leverage prosecutors have over you.

The Department of Defense Inspector General maintains investigators specifically focused on contractor fraud. The FBI has dedicated units for defense industry crimes. These agencies dont just share information with IRS-CI - they conduct joint investigations. When they find tax fraud connected to defense work, the case dosent go to just one agency. It goes to a task force. Your tax returns become evidence in a much larger investigation. Your unreported income becomes proof of contractor fraud.

And heres the part that destroys people. The False Claims Act allows the government to pursue treble damages - three times the amount of any fraud connected to government contracts. Plus penalties per false claim submitted. Plus the underlying tax fraud penalties. Plus potential criminal charges for wire fraud, mail fraud, and conspiracy. You thought you were hiding some income. You were actually building a multi-count federal indictment.

Northern District of Texas: Same District, Different Targets

Most people think the Northern District of Texas is one unified prosecution unit. It isnt. NDTX has different focuses depending on the location. Dallas prosecutors built there expertise on corporate fraud and Fortune 500 investigations. Fort Worth prosecutors deal more with defense industry cases, military contractor fraud, and the unique financial crimes that follow the aviation and defense sectors.

Think about what that means for your case. The prosecutors reviewing your tax situation in Fort Worth understand defense contracting. They know how prime contractors and subcontractors work. They understand cost-plus contracts and how fraud hides in overhead allocations. They know the techniques companies use to shift income and expenses between government and commercial work. These arent prosecutors learning about defense industry for the first time. These are prosecutors who have spent careers investigating exactly these issues.

The forensic accounting capability in Fort Worth is specifically tuned for defense contractor investigations. They coordinate with the Defense Contract Audit Agency. They work with military criminal investigators. They understand security clearances and how fraud affects clearance eligibility. When they investigate tax fraud connected to defense work, there bringing specialized expertise that goes far beyond standard IRS investigation.

And heres the part most people miss. NDTX selects cases carefully. The district is enormous - Dallas, Fort Worth, and surrounding areas. They cant prosecute everyone. So they focus on cases there certain to win. If your reading this because federal agents contacted you, your case has already been evaluated. Theyve already decided your worth pursuing. They already think they can convict you. IRS-CI has a 90% conviction rate for a reason. They dont bring cases they might lose.

When Your Civil Audit Becomes Criminal

An IRS audit seems like a tax problem, not a criminal one. Your dealing with a Revenue Agent, answering questions, providing documents, trying to resolve the issue. Its stressful but it feels managable. Your cooperating. Your being helpful. Your doing everything there asking. But heres what nobody tells you - that auditor is trained to spot criminal indicators. And when they find them, they refer you to Criminal Investigation without telling you.

Let that sink in. The person your cooperating with, the person your trying to help, the person your providing documents to - that person can send your file to criminal investigators and never tell you it happened. The referral happens through Form 2797. Your never notified when this form is filed. There no letter, no phone call, no warning. The civil audit continues like nothing changed, but in the background, a Special Agent has been assigned to your case and evidence gathering begins.

Everything you said during your "civil" audit - every explaination you gave trying to be helpful - is now being compiled into a criminal case against you. Your cooperation is building the prosecutions file. The helpful documents you provided about your defense contract work? Evidence. The detailed explainations you gave about your subcontracting income? Admissions. The questions you answered honestly about your business structure? Self-incrimination. You were building the case against yourself and you didnt even know it.

Heres the part that makes defense lawyers cringe. You might think your accountant protects you. Theres no accountant-client privilege for tax matters. None. Your accountant can be compelled to testify against you. Your CPA can be subpeonaed. Your companys CFO can be put on the witness stand. Everyone you talked to about your taxes becomes a potential witness for the prosecution. The person you hired to help you can become the governments star witness against you.

And in Fort Worth, it gets worse. If your work involves defense contracts, your security clearance hangs in the balance. Criminal tax fraud investigation triggers security clearance review. Even if your ultimately acquitted, the investigation itself can cost you your clearance - and with it, your ability to work in the defense industry. Your career can be destroyed before any verdict is reached.

Federal Tax Fraud Penalties in Texas

Federal tax evasion under 26 USC 7201 carries up to 5 years in prison per count. Thats the starting point. But heres were it matters for Fort Worth defendants. If your tax fraud connects to defense contracting, additional charges stack on top. Wire fraud: up to 20 years. False Claims Act violations: civil penalties plus treble damages. Conspiracy: additional counts, additional years. The exposure compounds exponentialy.

Fines for federal tax evasion can reach $100,000 for individuals and $500,000 for corporations. Plus restitution - every dollar you allegedly evaded, with interest and penalties. Plus supervised release after prison. Plus a felony conviction that follows you forever. Professional licenses revoked. Security clearances permanently revoked. Career in defense industry destroyed. And in Texas, you cant hope that state charges might be easier to resolve. Federal is the only game in town.

OK so heres were the math gets scary. Five years per count for tax evasion. If you have multiple years of fraudulent returns, thats multiple counts. Add wire fraud charges connected to defense contracts - 20 years per count. Add False Claims Act civil liability - treble damages plus per-claim penalties. The numbers become staggering. And federal sentences are served at 85% minimum - no early release for good behavior. When the federal government says five years, they mean at least four years and three months.

Restitution in defense contractor fraud cases goes beyond just tax liability. You may owe restitution to the Department of Defense. You may face debarment from future government contracting. Your company may be excluded from the defense industry entirely. The collateral consequences extend far beyond prison time. Even if you somehow avoid incarceration, the financial and professional destruction can be total.

Signs Your Already a Criminal Target in Fort Worth

When federal agents contact you, the type of agent matters more then anything else. IRS Revenue Agent means civil audit - you still have time to prepare, options are still open, your not necesarily in criminal jeopardy. IRS Special Agent means criminal investigation - they've already decided your a target. If a Special Agent shows up at your door, the investigation has been running for months or years before you ever knew about it.

How do you know which type your dealing with? Special Agents carry badges and guns. Revenue Agents dont. Special Agents will introduce themselves as being from IRS Criminal Investigation. There not there to audit your return. There not there to help you resolve a tax problem. There there to gather evidence for a criminal prosecution. And by the time they show up, theyve already reviewed your returns, analyzed your contracts, traced your subcontracting relationships, and concluded that you probably commited a crime.

But in Fort Worth, watch for another warning sign. If investigators from the Defense Criminal Investigative Service contact you, or if the DOD Inspector General reaches out, you have a defense contractor fraud investigation - not just a tax case. Multiple agencies contacting you means a coordinated investigation. Task force involvement. The stakes just multiplied.

Your instinct will be to explain yourself. Clear things up. Show them your not a criminal. Answer there questions. Provide more documents. Cooperate fully. This is exactly what they want, and it destroys your defense. Anything you say without a lawyer present becomes evidence. Every word. Every document. Every helpful explaination. And investigators are trained to ask questions that elicit incriminating responses. They know what there doing. You dont.

The correct response is to politely decline to answer and call a tax fraud attorney immediatly. Not tomorrow. Not after you "get your documents together." Not after you talk to your accountant or your company's general counsel. Immediatly. Every minute you spend talking to a Special Agent without counsel is a minute your making your situation worse.

What Happens in the First 48 Hours

The moment you learn of a criminal tax investigation, a clock starts. You have 48 hours before critical options start closing. Agents are trained to extract statements fast - before you have time to think, before you can talk to a lawyer, before you understand whats happening. Every word you say without counsel is a mistake that cant be undone.

Heres what there doing while your panicking. Subpoenaing your contract records. Interviewing your employees. Talking to your prime contractors about your billing practices. Requesting your security clearance file. Seizing documents. Freezing bank accounts. Building there case. Your business is being dismantled while you try to figure out whats happening. By the time most people understand the severity, the damage is already done.

And heres the part most people dont think about. Your business partners can be brought in for questioning. Your co-owners can be subpeonaed. Your employees can be interviewed and flipped into cooperating witnesses. Anyone who knows anything about your finances can be compelled to talk. And what they say becomes evidence. Not just against you - potentialy against them too. Defense contractor fraud investigations have a way of expanding to include everyone in orbit.

The only correct action in the first 48 hours: say nothing, sign nothing, call a tax fraud lawyer. Not a general attorney who dabbles in tax issues. Not your companys corporate lawyer. Someone who handles federal tax crimes exclusivly. Someone who understands IRS-CI, the Northern District of Texas, and defense contractor fraud investigations. Someone whos been in the trenches. This is the one window were intervention can change everything.

Why You Need a Fort Worth Tax Fraud Lawyer NOW

Your reading this because something happened. An agent visit. A letter. A subpoena. A phone call from your accountant that made your stomach drop. Right now, today, you have options you wont have next week. Pre-indictment intervention can sometimes prevent charges. Voluntary disclosure programs may still be available. Cooperation agreements can be structured. Plea negotiations can begin early. But that window closes fast.

Heres were the timing matters. Before indictment, your a "target" or a "subject" - categories that have some room for manuver. After indictment, your a defendant. The charging decision has been made. The grand jury has returned a true bill. Your facing trial. Everything changes. The leverage shifts. The options narrow. The cost skyrockets.

At Spodek Law Group, we handle federal tax fraud cases. Todd Spodek has defended clients against IRS-CI, Northern District of Texas prosecutors, and defense contractor fraud investigations. We understand the unique threat your facing in Fort Worth - where tax fraud can intersect with defense contracting to create multi-agency investigations with devastating consequences. We've seen what happens when people wait. We've seen clients who talked to agents without counsel and destroyed there own cases. We've seen defense contractors who thought they could handle it themselves and ended up losing everything.

The consultation is free. The cost of waiting isnt. Call 212-300-5196. The prosecutors arnt waiting for you to get organized. There building there case right now, today, while your reading this article. There interviewing witnesses. There reviewing your contracts. There preparing charges. The question is wheather you'll have representation when they make there move - or wheather you'll be one more conviction in there 90% rate.

We've been doing this for years. We know how IRS-CI builds cases. We know how Northern District prosecutors think. We know how defense contractor investigations expand. We know the judges, the courtrooms, the procedures. And we know what happens to people who try to navigate this system without experienced counsel. Some of them are in federal prison right now, serving sentences that could have been avoided or reduced if they had called a lawyer earlier.

The choice is yours. But the window is closing. Every day you wait is a day the government spends building there case against you. Make the call. Protect yourself. Protect your family. Protect your future. Because once the indictment comes down, protecting becomes much, much harder.

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