This week, Timothy Thomas, a Northeast Georgia resident, was sentenced to two years’ imprisonment by the U.S. District Court for the Northern District of Georgia for participating in a tax fraud scheme, the website SF Gate reports. Thomas’ wife, Mary Beth Thomas, was sentenced to 10 months. The couple were also ordered to pay more… Continue Reading
Category Archives: Tax Fraud
Subscribe to Tax Fraud RSS FeedAtlanta Man Indicted for Filing More Than 2,000 Tax Returns Using Stolen Inmate Identities
Posted in Identity Theft, Tax FraudAs reported in the Augusta Chronicle, Qadir Shabazz, formerly of Atlanta, has been indicted in the U.S. District Court for the Northern District of Georgia for allegedly operating a business called “Indigent Inmate,” which distributed information to more than 13,000 prison inmates across the country. Shabazz and his co-conspirators promised benefits to inmates in exchange… Continue Reading
9th Circuit Reverses Conviction for Tax Fraud Relating to Alleged Terrorist Funding
Posted in Tax Fraud, UncategorizedOn Friday, the Ninth Circuit Court of Appeals reversed the conviction of Pirouz Sedaghaty, also known as Pete Seda, for allegedly making a false statement on a tax return, as reported in the Oregonian. Mr. Seda was convicted in 2010 for allegedly making a false statement on his 2001 tax return relating to alleged… Continue Reading
Atlanta Area Man Receives $2.8 Million in Refunds–from Prison; Sentenced to 5 Years
Posted in Tax Fraud, UncategorizedIn 2008, Arnold Tobias Gervais was convicted in the Superior Court of Cobb County, Georgia, for submitting a fraudulent tax return claiming a $600,000 tax refund from the State of Georgia. He was sent to prison from 2007 to 2010. While incarcerated, Gervais caused his wife to file a false 2008 IRS Form 1040 claiming… Continue Reading
Pine Mountain, GA, Couple Indicted on Federal Tax Charges
Posted in Tax FraudA Pine Mountain, Georgia, couple have been indicted in the U.S. District Court for the Middle District of Georgia for allegedly engaging in conspiracy and filing fraudulent tax returns. The government has charged Natashia and Detrick Tucker, who own and operate a tax preparation business, T&T Express, with illegally claiming inflated tax refunds for their… Continue Reading
Tax Fraud on the Rise in Georgia–52,000 False Returns in 2010
Posted in Fraud, Tax FraudAccording to the Atlanta Journal-Constitution, the IRS found more than 52,000 fraudulent tax returns filed in Georgia in 2010, worth $41 million in refunds, an increase over the 29,000 fraudulent returns discovered in 2009 and the almost 16,000 returns in 2008. Last year, the Service and the Georgia Department of Revenue launched more than 20,000… Continue Reading
Georgia Prisons Big Source of Tax Fraud According to USA Today
Posted in Fraud, Tax FraudAn article in USA Today claims that prison inmates in Georgia, Florida, California and elsewhere caused the Internal Revenue Service to issue $39 million in undeserved federal tax refunds in 2009. Georgia came in second with $3,560,562 in fraudulent refunds issued to prisoners, but was far outstripped by Florida’s $12,576,944 in refunds. The IRS… Continue Reading
UBS Hands Over Account Information on 4,450 U.S. Citizens to IRS; Government Sues to Stop Two Cobb County Tax Preparers
Posted in Tax FraudWe knew it was coming, but Bloomberg reports today that Switzerland’s Federal Tax Administration has said that it expects to deliver account data on almost 4,450 U.S. clients of UBS AG to the IRS in exchange for the IRS’ withdrawal of a "John Doe" summons served on UBS and accompanying lawsuit. The IRS had sought… Continue Reading
Wesley Snipes, Actor, “Foreign Diplomat” and “Fiduciary of God,” Has Tax Convictions and Sentence Affirmed by Eleventh Circuit
Posted in Sentencing, Tax Fraud, VenueOn Friday, the Eleventh Circuit Court of Appeals issued an opinion in the highly-publicized tax evasion case against actor Wesley Snipes, U.S. v. Snipes, No. 08-12402, which may be read here. The odd facts in the case are as follows: around 2000, Snipes became involved with a tax resistance organization, American Rights Litigators (“ARL”), operated… Continue Reading
Florida Tax Defiers and Advisor to Actor Wesley Snipes Convicted for $1 Billion Tax Fraud Scheme
Posted in Tax FraudEddie Ray Kahn, Stephen C. Hunter, Danny True and Allan J. Tanguay, who operated American Rights Litigators/Guiding Light of God Ministries (ARL), were about making money. Specifically–making over $1 billion in false bills of exchange which purported to be drawn on the U.S. Treasury. A jury in the U.S. District Court for the District of… Continue Reading
IRS Prosecutions of UBS Customers Widen; IRS Offers Voluntary Disclosure
Posted in Tax FraudThe Federal government is building criminal cases against more than 150 U.S. citizens holding overseas bank accounts with Union Bank of Switzerland (UBS), as reported by Reuters and the Banking Times. The criminal investigations are part of a Federal crackdown on tax evasion by means of overseas accounts and were facilitated by a settlement between… Continue Reading
Government to Obtain Names of Thousands of Alleged Tax Evaders from Swiss Bank UBS for Prosecution
Posted in Tax FraudAs reported by the International Business Times and Reuters, the U.S. and Switzerland entered an agreement last week under which UBS, Union Bank of Switzerland, would disclose the identities of approximately 4,500 to 5,000 holders of secret Swiss bank accounts. The Internal Revenue Service had filed suit against UBS in February in the U.S. District… Continue Reading
BDO Seidman Exec Pleads to Tax Fraud Charges
Posted in Tax FraudCharles Bee Jr., 63, a former Vice Chairman and partner of BDO Seidman, pled guilty last week to tax fraud charges from helping to create $1 billion worth of phony tax shelters for wealthy clients, as reported by WebCPA and The New York Post. The charges against Bee are part of an investigation of a… Continue Reading
$179 Million Tax Whistleblower Case
Posted in Tax FraudWe have pointed out the potential rewards which the Internal Revenue Service offers whistleblowers who sound the alarm on tax fraud. A major recent tax whistleblower case is the multimillion dollar dispute between the IRS and Cardinal Health, Inc., a distributor of pharmaceuticals and medical supplies based in Dublin, Ohio. As reported by the… Continue Reading
Justice Souter, Juror No. 6 and Taxes
Posted in Miscellaneous, Tax FraudSo, I’m out of the office for a few days and all hell breaks loose in the federal blogosphere. First, Justice Souter announces his retirement from the Supreme Court (don’t you wonder why many Supreme Court Justices die in office). I mean, seriously, at some point doesn’t someone reach retirement age. Seems to me a… Continue Reading
Swiss Seek End to Disclosure of UBS Client Names
Posted in Environmental Crimes, False Claims, Foreign Crimes, Money Laundering, Tax FraudSwiss President asks Treasurey Secretary Geithner to drop inquiry into UBS client names
UBS Client Pleads Guilty Yesterday to Filing False Tax Return
Posted in Tax FraudUBS Swiss bank customer pleads guilty to filing false tax return
A Message to Taxpayers: Pay or Be Prosecuted
Posted in Fraud, Tax FraudWhile many late preparers are busy filling out forms, the United States District Attorney’s Office for the Northern District of Georgia has issued a press release to help motivate taxpayers to be honest with the Internal Revenue Service. United States Attorney David Nahmias told the press last Thursday that "The IRS and other federal… Continue Reading