Individual and Offense Characteristics

• 76.4% of individuals sentenced for tax fraud were men.
   
• 51.5% were White, 25.9% were Black, 11.3% were Hispanic, and 11.3% were Other races.
   
• Their average age was 54 years. 
   
• 93.8% were United States citizens.
   
• 86.8% had little or no prior criminal history (Criminal History Category I).
   
• The median loss for these offenses was $491,302;³
  • 9.0% involved loss amounts of less than $100,000;
  • 20.5% involved loss amounts greater than $1.5 million.
     
• Sentences were increased for:
  • using sophisticated means to execute or conceal the offense (16.9%);
  • a leadership or supervisory role in the offense (6.5%);
  • abusing a public position of trust or using a special skill (3.7%);
  • obstructing or impeding the administration of justice (6.5%).
     
• Sentences were decreased for:
  • minor or minimal participation in the offense (1.1%).
     
• The top five districts for tax fraud offenses were:
  • District of Massachusetts (20);
  • Northern District of Ohio (17);
  • Eastern District of New York (16);
  • Middle District of Florida (16);
  • Central District of California (15).

Punishment

• The average sentence length for individuals sentenced for tax fraud was 15 months. 
   
• 66.0% were sentenced to prison. 
   
• No individuals were convicted of an offense carrying a mandatory minimum penalty.

Sentences Relative to the Guideline Range 

• 45.2% of sentences for tax fraud were under the Guidelines Manual.
  • 28.9% were within the guideline range.
     
  • 12.4% were substantial assistance departures.
    • The average sentence reduction was 79.9%.
       
  • 3.7% were some other downward departure.
    • The average sentence reduction was 69.5%.
       
• 54.8% of sentences for tax fraud were variances.
  • 54.5% were downward variances.
    • The average sentence reduction was 64.4%.
       
  • 0.3% were upward variances.⁴

• The average guideline minimum increased and average sentence imposed have remained steady over the past five years.
  • The average guideline minimum was 26 months in fiscal year 2020 and 25 months in fiscal year 2024.
     
  • The average sentence imposed was 16 months in fiscal year 2020 and 15 months in fiscal year 2024.