ER doctor sentenced to prison for tax evasion

 

Date: July 8, 2022

Contact: newsroom@ci.irs.gov

Oxford, MS — An emergency room doctor from Golden, Mississippi has been sentenced to almost 3 years in prison today for failing to pay his taxes.

According to court documents, and evidence presented at trial, Dr. Kevin L. Crandell was an emergency room physician who earned $30,000 to $40,000 per month and stopped paying personal income taxes in 2007. During the years 2006 through 2012, Crandell accrued approximately $972,493 in tax debt, including penalties and interest. At trial, the Government presented evidence that Crandell submitted a false and fraudulent IRS Form 433-A in 2014 to the Internal Revenue Service in an attempt to negotiate a payment plan for his outstanding tax liabilities. Crandell falsely represented on that form that his expenses exceeded his income. Crandell also failed to list assets and business bank accounts, which he was using for personal expenses. Though Crandell attempted to blame a tax resolution service he hired in 2010, the evidence at trial showed that Crandell intentionally manipulated his pay stubs to show a decrease in his 2014 annual income before submitting the pay stubs to the tax resolution service.

U.S. District Court Judge Sharion Aycock heard comments from the defendant, his counsel and the United States before sentencing Crandell to 33 months in prison and restitution in the amount of $972,493.

"It is fundamentally unfair to the millions of Americans who pay their taxes each year for others to purposely and flagrantly evade their tax responsibilities and obligations," remarked U.S. Attorney Clay Joyner. "Today's sentence provides a measure of accountability for one individual who deliberately defrauded the IRS and hopefully sends a message to those who would seek to evade their legitimate tax obligations."

"To build faith in our nation's tax system, honest taxpayers need to be reassured that everyone is paying their fair share," said James E. Dorsey, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. "The IRS Criminal Investigation together with the Department of Justice, will investigate and prosecute those who violate our tax system."

The IRS-CI investigated the case. The case was prosecuted by Assistant U.S. Attorneys Clay Dabbs and Philip Levy.