Skip to main content

Alleged Tax Fraud Destroys Major Dallas Law Firm

Jenkens & Gilchrist will close and pay a $ 76 million civil fine for promoting tax shelters that were allegedly fraudulent. According to the U.S. Internal Revenue Service (IRS), nearly 1,400 individuals received incorrect advice from the Dallas law firm. Some clients have apparently sued the business for damages incurred because of the advice.

This should be a lesson to all tax professionals that they must not aid or abet tax evasion by clients or promote potentially abusive or illegal tax shelters, or ignore their responsibilities to register or disclose tax shelters.” – IRS Commissioner Mark Everson

Here’s the moral of the story. If you’re treading a fine line between tax avoidance (legal) and tax evasion (illegal), step back and consider what will happen to you if the IRS and U.S. Department of Justice decide to make an example out of you.
Mike Young, Esq.

Author Mike Young, Esq.

Mike Young has been practicing business and technology law since 1994 and is an angel investor in startups. He's been an entrepreneur since 1988. To get legal help from Attorney Young, click here now or call 214-546-4247 to schedule a phone consultation.

More posts by Mike Young, Esq.