In October, a prominent attorney and ex-Moody's counsel, John Goggins, received an eight-month prison sentence after pleading guilty to knowingly failing to file personal tax returns. But what can we learn from Moody's plight, and how can you avoid facing similar penalties for “white collar” crimes such as tax fraud? If you need urgent legal advice, we're waiting to represent you — just call 888.535.3686 to retain the Lento Law Firm Team or complete our online form. In the meantime, though, let's look at what happened and what we can take from this cautionary tale.

The Accusations Against Goggins

According to federal prosecutors, Goggins failed to file federal tax returns between 2018 and 2021. In that time, he allegedly earned $54 million. Goggins accepted the accusations and pleaded guilty to the charges. The U.S. Magistrate Judge imposed the following criminal penalties against Goggins:

• $40,000 fine
• Supervised release for 12 months
• 8 months in prison

Goggins has also paid over $3 million in restitution for failing to file his personal tax returns. Although Goggins has shown remorse for his actions, this did not deter the judge from imposing what are clearly significant and long-lasting penalties against the former general counsel.

Willful Actions vs. Honest Mistakes

It's important to note that Goggins admitted to tax filing failures. Why does this matter? Because the prosecution must show that a person willfully and knowingly withheld taxable income or failed to file their returns correctly.

Although it can be challenging to show that you acted honestly, the burden of proof ultimately lies with the prosecution. Our attorneys can explain how your case may proceed and how you may defend the accusations based on the evidence available.

Get Help with Tax Crime Allegations

Are you concerned about your tax return or even facing tax crime charges? First, don't panic. Instead, take swift action to improve your chances of having the charges dismissed or at least mitigating the consequences of a tax investigation.

• Seek professional help if you're unsure about any aspect of your tax return. The best way to avoid a tax crime allegation is to ensure you complete your returns correctly and that you understand exactly what's expected of you.
• Keep diligent and comprehensive financial records that you can produce if required as part of an investigation.
• Do you think you've made a tax filing error? Be transparent and explain the situation to the IRS. Your honesty, and your willingness to rectify the error, are points in your favor.
• Already facing accusations? Don't respond without consulting the Lento Law Firm Criminal Defense Team first. We will protect your best interests and help you devise the best possible defense to the charges.

Don't let state or federal tax crime charges overwhelm you. Get the support and legal assistance you need now by calling 888.535.3686 or contacting the Lento Law Firm Team online.