Tax Evasion Case Examples

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What is an example of a tax evasion case?

Tax Evasion Case Examples

Here are a couple of examples of tax cases involving the topic of tax evasion. They are actual tax evasion cases. The transcripts are taken directly from the IRS website to help you understand the consequences and situations. Remember, tax evasion is considered a criminal penalty, which could involve prosecution and incarceration.

On October 19, 2006, in Grand Rapids, MI, Dr. Thomas William Minguske , a dentist, was sentenced to 12 months and one day in prison to be followed by three years of supervised release and ordered to complete 150 hours of community service in each year of supervised release. In addition, Minguske was ordered to pay $132,042.65 in restitution to the Internal Revenue Service (IRS). Minguske pleaded guilty on May 25, 2006, to information charging him with one count of tax evasion for the tax year 2001. The information charged that in 2001, Minguske had gross income in excess of $100,000 and that he had failed to file a federal income tax return reporting his income to the IRS. It further charged that Minguske had utilized a sham trust to conceal his income from the IRS. Testimony during the sentencing revealed that Minguske had stopped filing federal income tax returns in 1992 and had established a sham trust in 1994 to conceal his dental practice income from the IRS. Minguske had obtained the trust through an individual named Barrie Konicov who is currently serving an 87 month prison sentence for violations of the Internal Revenue Laws.

On November 16, 2006, in Erie, PA, Ronald J. and Carol A. Kapala were sentenced for conspiring to defraud the United States by impeding and impairing the lawful functions of the Internal Revenue Service. Ronald Kapala was sentenced to 30 months in prison to be followed by three years of supervised release and ordered to pay a $100 assessment. Carol Kapala was sentenced to three years probation and ordered to pay a $300 assessment. According to the indictment, the Kapalas used a variety of schemes to attempt to obstruct the IRS in the collection and assessment of income taxes including failing to file income tax returns from 1990 through 1998 and 2002 through 2004; attempting to conceal their construction business activity through the use of nominee names; disguising ownership of assets by transferring them out of their names; forming a bogus tax-exempt religious organization for the construction business in the name "Mission Builders," and making fraudulent claims with the IRS concerning their obligation to pay federal income taxes.

   

Comments

12/8/2008 5:05:57 PM
Cleotis in Trouble said:

I have a friend who hasn't filed his taxes in 5 years and he just had a meeting with the local IRS office. The office told him that he owes in excess of $26,000.00 dollars. His case is to be continued at the end of January 2009. Will he be able to resettle his fine, or is he facing some possible jail time?




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