A cautionary tale about what can happen when you evade your tax obligations.
A timeshare salesman in Virginia, Gregory Overton Powell, age 62, was charged with evading his federal income tax obligations for approximately 13 years. Powell made roughly $300,000 a year between 2006 and 2016, but neglected to file his tax returns on time and made minimal payments towards his tax liabilities. He owed more than $1,400,000.00 in taxes and penalties for that same time period.
On two separate occasions IRS agents allowed Powell to set up an installment agreement for back taxes, provided he adjust his tax withholdings. But Powell reneged on the terms of both agreements and falsely told his employer that he was exempt from tax, preventing any withholding from his salary.
Powell took other steps to avoid paying his tax debt. He failed to report his ownership of a 34 foot speedboat on a collection statement, he had his wife purchase and hold title to real property as a nominee in order to obstruct collection efforts, and convinced another person to take nominal title of a different property he owned in Newport News, Virginia.
Powell was sentenced to 40 months in prison followed by three years of supervised release. He was also ordered to:
Pay Restitution to the IRS in the Amount of $1,405,954
Don't be like Mr. Powell! If you owe back taxes and are ready to seek a permanent solution to your tax issues, call us today at 833-StopIRS to schedule a Free No-Obligation consultation. We look forward to discussing how to get you back on track!