So long as you declared the stolen amounts on your tax return, you do not have a tax fraud issue. I will change the practice area on this question to be "Criminal Defense" in hopes that a criminal defense attorney in your area will be able to address your question, assuming she is threatening police action as a result of the theft. If she is threatening to sue you, please clarify this.
Please note this information is general in nature and based solely on the information you have provided. This does not constitute specific legal advice.
The general statute of limitations for theft offenses is five years. However, that does not end the inquiry as the seminal question is, when does the statute begin to run? The answer is not simply a matter looking at the calendar. Speak privately and confidentially with an experienced criminal defense attorney who routinely practices in Allgy. Co. and follow his or her advice. Good luck.
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