At Least His Name Was Right on the Return

Steven H. Young of St. Petersburg, Florida didn’t like to pay taxes. Well, most of us don’t like to pay taxes but we do because it’s the law. Mr. Young decided that veracity wasn’t needed when filing tax returns.

Mr. Young was self-employed in real estate, and he prepared his own tax returns. He was married, but filed as “Head of Household.” That was strike one. Mr. Young did not do business with a company in the Dominican Republic; however, he created his invoices that showed a phony lease and phony expenses to that company. That was strike two. Mr. Young was audited, and the audit didn’t go particularly well; the IRS subpoenaed records from Bank of America. Mr. Young came up with the not-so-brilliant idea of writing a phony letter to Bank of America, and telling the bank to send the records to a different address—an address he opened in an IRS’s employees name. That was the third strike, and IRS Criminal Investigation and the Treasury Inspector General for Tax Administration pounced. Mr. Young pleaded guilty earlier this year; he was sentenced today to 21 months at ClubFed.

I could have called this story, “Count the felonies.” Lying to an IRS employee is another felony, so Mr. Young should count his lucky stars he will only enjoy a little under two years at ClubFed. A helpful hint to those at home: Don’t emulate Mr. Young!

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