- 39 - income from those returns with the intent to evade taxes. Mr. Jacobsen admitted in his plea agreement in his criminal tax proceeding that he schemed with Mr. Del Bosque to hide income and evade taxes, filed false tax returns for 1987 and 1988 in furtherance of that scheme, and omitted substantial income from those returns with the intent to evade taxes. For purposes of the sentencing guidelines, Mr. Del Bosque stipulated that he “employed the same course of conduct and a common plan with respect to the evasion of taxes in tax years 1987, 1988, and 1989”, and Mr. Jacobsen stipulated that he “employed the same course of conduct and a common plan with respect to the evasion of taxes in tax years 1987 and 1988”. They reiterated the substance of those admissions in testimony supporting their guilty pleas. Mr. Del Bosques’s admissions are strong evidence that he intended to evade taxes he knew to be owing in 1988 and 1989. Mr. Jacobsen’s admissions are strong evidence that he intended to evade taxes he knew to be owing in 1988. 7. Dishonesty in Business Transactions A taxpayer’s dishonesty in business transactions or willingness to defraud others may indicate a willingness to defraud the Commissioner. Solomon v. Commissioner, 732 F.2d 1459, 1462 (6th Cir. 1984), affg. per curiam T.C. Memo. 1982-603; McGee v. Commissioner, 61 T.C. 249, 260 (1973), affd. 519 F.2dPage: Previous 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 Next
Last modified: May 25, 2011