ALBANY – Five individuals were arraigned for failing to file New York State personal income tax returns, and the remaining 26 will be arraigned on April 4, 2008. The 31 individuals are believed to owe over $650,000 in tax liability.

The charges are the result of an initiative undertaken by the New York State Department of Taxation & Finance’s Office of Tax Enforcement to identify professionals who have failed to file and remit personal income taxes to the State. The 31 people are all real estate professionals who received 1099 income in tax years 2000 through 2006. Twenty-nine of those accused face violations of §1802(a) of the New York State Tax Law, an “E” Felony, for failing to file returns for three or more consecutive tax years, having a tax liability in each of those years, and, if found guilty, may be sentenced to a maximum of 1 1/3 to 4 years in state prison. The remaining 2 defendants are facing misdemeanor charges, for failing to file in a given tax year or non-consecutive years, in violation of §1801(a)of the New York State Tax Law, exposing them, upon conviction, to up to a year in jail.

The defendants range from independent contractors with a small to moderate business, to agents with multi-million dollar listings with large New York City firms.

Source: www.empirestatenews.net