Author archives: david

The taxpayers were convicted of willful failure to pay tax and filing false returns. The husband argued that the omitted income was a mistake. The jury rejected this defense. The wife made the mistake of volunteering to answer the questions of the agents instead of exercising her 5th amendment rights.

The taxpayer gambled in casinos near Detroit. When he won, he provided the casino a false social security number. This occurred over 900 times. Taxpayer was charged with 17 counts of subscribing a false document or return.

Defendants were convicted of tax fraud conspiracy charges. The defendant's asserted that their rule 29 motion alleging insufficient evidence, should have been granted.

Government obtained an affidavit for a search warrant alleging that a doctor was submitting false billing. The doctor was convicted of tax violations based upon documents obtained during the search. The doctor challenged the search warrant based upon the position that important information was omitted from the search warrant affidavit.

A CPA has an ethical obligation not to voluntarily discuss a taxpayers taxes without the client's informed consent. This includes voluntary meetings with special agents investigating possible tax crimes.

Taxpayer pleaded guilty to receiving illegal refunds was sentenced to 33 months to run consecutively to state sentence.

In a bankruptcy fraud case the government sought to introduce evidence of a prior conviction for willful failure to pay child support. The Defendant objected. The Government argued that it was a specific intent crime equivalent to willful failure to pay tax under section 7203. The Court disagreed.

Defendant appealed a 4 level enhancement for being an organizer and a 2 level enhancement for obstruction during the civil audit. The Court upheld the sentence enhancements. One member of the Court of Appeals dissented.

Taxpayer was charged with tax evasion pursuant to 7201. The Court found that the statute of limitations began to run when the last element of the offense took place. The motion to dismiss was granted.

Frank Gangi resided in the U.S. Virgin Islands. The IRS issued summons to investigate whether Gangi was required to pay income taxes. Taxpayer moved to quash the summons. The motion was denied.