Recently it was announced by the Department of Justice Tax Division’s Acting Deputy Assistant AG Stuart M. Goldberg that Sarah Vidican, owner of Magnalty LLC had been charged with failing to file tax returns and filing a false tax return. Vidican’s marketing and consulting firm (Magnalty) allegedly provides services to chiropractors and physicians in both Michigan and Florida.
According to the indictment returned by a Flint federal grand jury, Vidican underreported the income for Magnalty when she filed a fraudulent 2012 partnership tax return. Vidican also did not file a partnership tax return for Magnalty for the year 2014, and failed to file a personal tax return for 2013 according to the indictment.
The investigation of Vidican and the business was conducted by IRS Criminal Investigation special agents. The case will be prosecuted by Tax Division Trial Attorneys William Guappone and Mark McDonald.
Although the indictment alleges that Vidican committed crimes, she is presumed innocent until the time she goes on trial and is either acquitted of the charges or found guilty beyond a reasonable doubt. If found guilty, Vidican may be sentenced to one year in prison for each failure to file count. The statutory maximum for filing a false tax return is three years, which means the defendant may face an incarceration period of any length of time not to exceed three years.
Tax evasion, failing to file, filing a false tax return and other related financial crimes are extremely serious and may result in harsh punishment. Those under investigation for potential tax crimes should consult with a skilled Michigan defense attorney right away.