Tax Crimes Rome

Criminal Tax Defence in Rome: An Integrated Tax and Criminal Law Approach

Tax crimes lie at the intersection of tax law and criminal law. An effective defence requires in-depth knowledge of both systems and the ability to coordinate the tax strategy (assessment, tax settlement procedure (accertamento con adesione), payment) with the criminal defence strategy (investigations, preliminary hearing, trial). The Firm, Marzo Associati, offers this integrated approach through cooperation between its tax department and business crime team.

D.Lgs. 74/2000: The Main Offences

Legislative decree 74/2000 governs Italian tax crimes. The most common offences concern:

• Fraudulent tax return (artt. 2-3): use of false invoices or other fraudulent devices to reduce tax. Punishable by up to 8 years' imprisonment;
• Inaccurate tax return (art. 4): understatement of income or declaration of fictitious deductions. Punishable by up to 4 years and 6 months' imprisonment;
• Failure to file a tax return (art. 5): failure to submit a tax return. Punishable by up to 3 years' imprisonment;
• Failure to pay (artt. 10-bis e 10-ter): failure to pay withholding taxes or VAT above the threshold. Punishable by up to 2 years' imprisonment;
• Fraudulent evasion of tax payment (art. 11): sham disposal of assets to evade collection. Punishable by up to 4 years' imprisonment.

Prevention: The Most Important Stage Is Before the Offence Is Reported

A criminal tax lawyer should not become involved only when the case is committed for trial. The most valuable opportunity arises when the business owner receives a tax audit report (PVC) from the Italian Finance Police (Guardia di Finanza): at that stage, it is still possible to adopt strategies which, if properly pursued, will result in exemption from punishment or significantly reduced penalties. Our Firm supports the client from their first contact with the investigators.

Reforms of D.Lgs. 74/2000: D.Lgs. 158/2015 and D.L. 124/2019

The Italian tax crime framework has undergone two significant reforms over the last decade. The D.Lgs. 24 September 2015, n. 158 ha introdotto importanti modifiche: ha raised the thresholds for criminal liability for the offences of filing an inaccurate tax return (tax evaded from €50,000 to €150,000), failure to file a tax return (from €30,000 to €50,000) and failure to pay withholding taxes (from €50,000 to €150,000); it introduced theart. 13-bis D.Lgs. 74/2000, which provides for a mitigating circumstance with special effect (a reduction in the sentence by up to half and no ancillary penalties) for anyone who, before the trial is declared open, has paid the tax debt in full, including penalties and interest, including through instalments; and it refined the legal definition of abuse of law, definitively distinguishing it from tax avoidance giving rise to criminal liability. The D.L. 26 October 2019, n. 124 (conv. L. 157/2019) ha invece increased the penalties, particularly for fraudulent tax returns using invoices or documents for non-existent transactions (art. 2), increasing the maximum sentence to 8 years' imprisonment (da 6); ha ampliato l'art. 12-bis D.Lgs. 74/2000 on direct confiscation and confiscation of assets of equivalent value; and extended the application of D.Lgs. 231/2001 to tax crimes, making companies liable in their own right for tax crimes committed in their interests.

Preventive Seizure of Assets of Equivalent Value: How It Works and How to Challenge It

Preventive seizure of assets of equivalent value is the most feared interim measure affecting assets in criminal tax matters: it allows the Public Prosecutor to ask the preliminary investigations judge (GIP) to freeze the suspect's assets (bank accounts, property, shareholdings) up to a value equivalent to the proceeds of the offence (the tax evaded), even where those assets have no direct connection with the offence. The statutory basis isart. 321 c.p.p. for preventive seizure generally, supplemented byart. 12-bis D.Lgs. 74/2000 which specifically governs mandatory confiscation for tax crimes, including confiscation of assets of equivalent value. The seizure order may be emesso inaudita altera parte (without a prior hearing of the parties) and takes effect immediately. The defence has 10 giorni to apply for riesame ex art. 322 c.p.p. before the competent review court (Tribunale della Libertà), which must decide within 10 days of receiving the case documents. If the review application is dismissed, an appeal may be brought before the Italian Supreme Court (Corte di Cassazione). Immediate action by a criminal tax defence lawyer is crucial: every day's delay in lodging a challenge may jeopardise the business's operations and the client's negotiating position.

The Relationship Between Criminal and Tax Proceedings

One of the greatest complexities in tax crimes is the concurrent conduct of criminal and tax proceedings. The two systems are formally independent — a criminal conviction does not automatically imply tax liability, and vice versa — but they interact significantly: evidence obtained in criminal proceedings may be used in tax proceedings, and administrative resolutions (the tax settlement procedure (accertamento con adesione), a self-correction request (autotutela), payment in full) affect whether criminal prosecution can proceed. Strategic coordination between the two defence teams is essential: steps that appear advantageous from a tax perspective may prove detrimental in criminal proceedings. Our Firm coordinates the defence on both fronts, maintaining consistency between the strategies adopted in tax and criminal matters.

Firm in Rome Specialising in Criminal Tax Law

Operating from its office at Via Ancona 20, Roma, the Firm's criminal tax team handles proceedings before the Public Prosecutors' Offices in Rome, Milan, Naples and Italy's major cities, with a network of local collaborators for more outlying locations.