C. Earl Alsop - Page 5




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               Periodic distributions were made from the trusts to Alsop              
          and to family members who were designated beneficiaries of the              
          trusts.  Evidence in the record, however, does not indicate the             
          amount or date of distributions from the trusts.                            
               In years prior to 1991, Alsop filed individual Federal                 
          income tax returns in which he falsely claimed he was a                     
          nonresident alien of the United States and on which tax returns             
          Alsop reported no income tax liability relating to income of his            
          chiropractic practice.                                                      
               Alsop did not file individual Federal income tax returns for           
          1991 and 1992 until March 19, 1996, just prior to the trial                 
          herein.  In October 1994, and October 1995, respectively, Alsop             
          filed his 1993 and 1994 individual Federal income tax returns.              
               On his 1991 untimely filed Federal income tax return, Alsop            
          reported gross receipts of $188,020, cost of goods sold of                  
          $32,059, expenses of $122,290, and net profits of $30,788                   
          relating to his chiropractic practice.                                      
               On his 1992 untimely filed Federal income tax return, Alsop            
          reported gross receipts, expenses, and net profits relating to              
          the chiropractic practice only for January through April,                   
          reflecting the months before the trusts were created.                       
               On his 1993 Federal income tax return, Alsop reported gross            
          receipts of $13,517, no expenses, and net profits of $13,517                
          relating to the chiropractic practice.                                      





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