Calif. Trio Tried, Failed to Outsmart the IRS
The government is coming down hard on three taxpayers who allegedly tried to cheat Uncle Sam while negotiating Offers in Compromise.
Virginia Ferrari, 51, and Guy Ferrari, 78, both of Rio Vista, Calif., are charged with three counts of subscribing to a false tax document; and Orion Douglas Memmott, 68, formerly of Willows, Calif., is charged with subscribing to a false tax document and tax evasion.
According to prosecutors, the Ferrari indictment alleges that in 2002, 2004, and 2005, the Ferraris submitted to the IRS Offers to Compromise for their tax liability for small amounts of money ($10,000 to $19,000), claiming they lacked the financial resources to pay the $44,140. They omitted, however, several items of valuable real property, a bank account and a securities account from the financial statements submitted with their offers.
According to the indictment against Memmott, the government alleges in June of 2005 he submitted to the IRS a financial statement in connection with his attempt to compromise his tax liability of $656,655, assessed for his 1993 through 1999 individual income taxes, plus penalties and interest. He omitted, however, real estate property valued at $260,000 that he held in nominee names, business bank accounts that he owned and controlled containing $112,772.38, and failed to report income derived from diverted investor funds of $116,570.
The three face up to five years in prison for tax evasion and up to three years in prison for submitting a false tax return.
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Tags: Filing Fales Federal Tax Return, tax evasion
October 15th, 2008 at 11:20 pm
[...] Calif. Trio Tried, Failed to Outsmart the IRS [...]
January 27th, 2009 at 7:59 am
No government can act in the most liberal way possible. I mean just seat back and wait until economy stabilizes itself. Government is ELECTED and if it does not show (or at least pretend) doing something with the crisis, it won’t be reelected that in politician’s utility function is equal to catastrophe