4Back taxes do not automatically lead to a criminal case, but the IRS does have a Criminal Investigation Division that reviews certain situations. Cases are typically referred to CID when there are large amounts of unpaid income or significant unpaid payroll taxes. If the IRS begins looking at your situation criminally, they will notify you through their special counsel and investigators. IRS Help reviews why the issue escalated, communicates directly with the IRS, and outlines the steps needed to address the underlying tax debt before matters worsen. The goal is to move the taxpayer toward compliance and reduce the risk of further action.