Immigration · Primary-source case analysis

Kawashima: Materially False Tax Returns Can Be Fraud-or-Deceit Aggravated Felonies

By Aneeta Mishra and Timothy Chan

Published May 1, 2026 · Updated October 17, 2026

Decision: Kawashima v. Holder, 565 U.S. 478 (2012).

Kawashima explains that a tax offense need not use the words fraud or deceit in its elements to fall within 8 U.S.C. section 1101(a)(43)(M)(i).

The convictions involved false tax returns

Akio Kawashima pleaded guilty under 26 U.S.C. section 7206(1) to willfully making and subscribing a false tax return. Fusako Kawashima pleaded guilty under section 7206(2) to aiding and assisting in preparing a false return. Kawashima, 565 U.S. at 480.

The elements necessarily entailed deceit

Knowingly and willfully submitting, or helping submit, a materially false return involves deceit even though the criminal statutes do not label fraud or deceit as standalone elements.

Tax crimes are not confined to the tax-evasion clause

The neighboring aggravated-felony provision expressly addressing section 7201 tax evasion did not remove other deceitful tax crimes from the broader fraud-or-deceit provision.

Disposition

On February 21, 2012, the Supreme Court affirmed that these offenses involve fraud or deceit and qualify under this aggravated-felony category when the required loss exceeds $10,000. The Court did not decide the loss issue. The Ninth Circuit had left Fusako’s loss amount for the Board to determine because her plea agreement was missing from the administrative record. Kawashima, 565 U.S. at 482–483 & n.3. The dissent disputed the interaction between the two statutory clauses.

Key takeaways

• Read the elements of the exact tax offense.
• Ask whether those elements necessarily entail deceit.
• Determine the loss through a properly tethered record.
• Analyze immigration consequences before plea and sentencing decisions.