[imgv94]

Snipes faces eight counts in alleged tax fraud scheme
October 18, 2006

TAMPA -- Actor Wesley Snipes was indicted yesterday on eight counts of tax fraud, accused of trying to cheat the government out of nearly $12 million in false refund claims and not filing returns for six years.

Prosecutors said Snipes fraudulently claimed refunds totaling nearly $12 million in 1996 and 1997 on income taxes already paid. The star of the "Blade " trilogy and other films including "Jungle Fever " and "White Men Can't Jump " was also charged with failure to file returns from 1999 through 2004.

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

``It's a conspiracy against the IRS, basically to harass the IRS, from doing its lawful job in term of collection of taxes," US Attorney Paul I. Perez said at a news conference.

If convicted of all the charges, Snipes could face 16 years in prison -- five years each on two conspiracy counts and one year each on six counts of failure to file income tax returns.

Snipes, 44, who had a home in Windermere near Orlando, Fla., has not been arrested because authorities don't know where he is, Perez said. Snipes's manager and attorney did not return phone messages.

The indictment said Snipes conspired with American Rights Litigators' founder Eddie Ray Kahn and tax preparer Douglas P. Rosile Sr. to file false refund claims based on a bogus argument that only income from foreign sources was subject to taxation. That included a claim for a $7.3 million refund for 1997, in which an amended tax return reported Snipes' s adjusted income as zero. The Justice Department sued Rosile in 2002 for allegedly filing bogus tax refund claims totaling more than $36 million on behalf of clients in 32 states. The suit is still pending. 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. Rosile is in custody in Ocala, Fla., Perez said, and the third defendant named in the indictment, Kahn, is believed to be out of the country.
ASSOCIATED PRESS

[imgv94]

What do you guys think about this? Seriously what was Snipes thinking?

Just when you think you have heard it all...

[Hulu]

I believe that the argument they were trying to use here was struck down by the US Supreme Court a long time ago. Some "Tax-Rebels" try to use it to get out of paying taxes.

The question is...Is he some sort of anti-tax activist, or did he get talked into something really stupid by trusting the wrong people?

[goldengoat]

what a greedy bastard

[tacomax]

The question is...Is he some sort of anti-tax activist, or did he get talked into something really stupid by trusting the wrong people?

The smart money is on the latter. Although, I'm sure that in a court of law, innocence of the wrongdoings of the accounting firm is no defence.

[nyplayer33]

i guess hes out of the country, lol

[JoshW]

A guy in his position should have enough money he doesn't need to **** around with BS like this, but obviously not or at least no brains.

[imgv94]

This is all over the news here in Los Angeles and the talk of the town here.. I just do not understand how completely stupid this is. He is set for life finanically with or w/o the taxes why put yourself at risk like this??

If I had to guess I would agree with Hulu and Taco that he received some horrible advice but still that doesn't help me understand why he would risk it all..

The world is weird...

[SBR_John]

They go after these rebel types hard. This should not be a tough guy to locate. I kind of feel for him. WHerever he is he is on the lam big time.

[tink]

I knew of a friend who didn't file taxes for 3 year because he owed the government money. They eventualy caught up with him, but all that happened was that he had to pay the taxes + interest and penalties. Of course he only made 19k a year, unlike the millions Snipes made.

[Tchocky]

If the charges are true, then he deserves to go to jail. We shouldn't make exceptions for the rich and famous.

[tacomax]

Update here:

BBC NEWS | Entertainment | Snipes arrested in tax fraud case

Actor Wesley Snipes has been arrested in Orlando after surrendering himself to authorities on tax fraud charges.

The 44-year-old flew into an Orlando airport and gave himself up, a spokesman for his new film said.

An arrest warrant was issued in October for the Hollywood star over reports he had dodged millions of dollars in taxes in 1996 and 1997.

He says he is a scapegoat and has been unfairly targeted. If convicted he faces up to 16 years in prison.

Mr Snipes was filming Gallow Walker in Namibia when the arrest warrant was issued.

He was not forced to leave the country as the African nation does not have an extradition treaty with the US.

Ian Thompson, a spokesman for Sheer Films, which is producing Gallow Walker, told the Associated Press that Mr Snipes planned to return to Namibia after the court appearance to finish work on the film.

The actor has also been charged with failure to file tax returns from 1999 through to 2004 and conspiring with two men to defraud the Internal Revenue Service (IRS), which collects taxes in the US.

Mr Snipes' former accountant has already surrendered to authorities.

The actor's first role was in Goldie Hawn's 1986 American football comedy Wildcats, and he later appeared in the video for Michael Jackson's Bad, which was directed by Martin Scorsese.

He also appeared in hit films such as White Men Can't Jump, New Jack City and the Blade trilogy.