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Wesley Snipes vs. The IRS

Posted on October 17, 2006 by JP Smith

I’m not into making predictions but, this is a huge battle for anyone to face.

Wesley Snipes was indicted today on charges of tax fraud. He stands accused of fraudulently claiming refunds of nearly $12 million on taxes already paid and, also, for not filing tax returns for six years.

from the article:

According to the indictment, Snipes had his taxes prepared by accountants with a history of filing false returns to reap payments for their clients. As part of the deal, the indictment alleges, the firm, American Rights Litigators, would receive 20 percent of refunds from clients.

Snipes faces a maximum of 16 years in prison.

Snipes, who had a home in Windermere, Fla., has not been arrested because authorities don’t know where he is, the IRS said.

In 2002, the Justice Department sued a Florida tax preparer who it said filed bogus tax refund claims, including a $7.3 million demand for Snipes.

Snipes was not named as a defendant in that case, but the lawsuit said the preparer’s largest claim was an amended income tax return filed on behalf of the actor and dated April 14, 2001. The return requested a $7,360,755 refund for taxes paid in 1997. The return said that Snipes’ adjusted gross income was zero, according to the lawsuit.

It said the preparer, Douglas P. Rosile Sr., told clients that only income from foreign sources was subject to taxation. The resolution of that lawsuit could not be immediately determined.

They say death and taxes are inevitable. One way or another, both get what they come for.

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