In case of suspicion of tax evasion, a tax criminal proceeding is initiated. In the end, fines and imprisonment can result. Legal representation is therefore highly recommended.
There can be various triggers for initiating a tax criminal proceeding. For example, the results of a tax audit can lead the tax authorities on the trail, or also the information on a purchased tax CD or financial data that is transmitted through the automatic exchange of information between more than 100 countries.
At first, it is about an initial suspicion and the tax investigation determines whether there is sufficient evidence to file charges. The aim of the defense should initially be to achieve the discontinuation of the tax criminal proceeding, says Attorney Michael Rainer, MTR Rechtsanwälte. The proceeding can be discontinued for various reasons.
At the beginning of the proceeding, the tax investigation determines whether there is sufficient evidence to file charges. Searches or interrogations may occur. Here, the accused should not make any rash statements but should coordinate their statements with their lawyer or exercise their right to remain silent. At the same time, in this phase, the suspicion might also be weakened, so that the tax criminal proceeding is discontinued according to § 170 Abs. 2 StPO due to lack of suspicion. This means that there is not enough evidence to file charges or the statute of limitations has already expired, or an effective voluntary disclosure exists.
It can also be attempted to discontinue the tax criminal proceeding due to insignificance according to § 153 StPO and § 398 Fiscal Code (AO). In this case, there is indeed sufficient suspicion, but only a minor offense is present, so the proceeding can be discontinued. Discontinuing the proceeding under conditions is also possible. For this, the defendant’s guilt must also be considered minor, and both the court and the accused must agree to the discontinuance of the proceeding under payment of a condition. For an evasion sum up to 10,000 euros, minor guilt can still be assumed.
If a criminal process cannot be avoided, an individually well-coordinated defense strategy is necessary to refute the allegations or at least achieve a minor penalty.
Experienced attorneys in tax criminal law can provide advice.
