Twenty Years Of Tax Non-Payment Gets Tax Attorney Suspended

An attorney who had failed to pay state and federal income taxes for two decades was suspended for two year by the New York Appellate Division for the Second Judicial Department.

This post from the New York State Department of Taxation and Finance indicates that he was a tax attorney by trade.

The court

In determining the appropriate measure of discipline to impose, the respondent asks that the Court consider the following mitigating factors: his excellent reputation, both personally and professionally, for competence, honesty, and integrity; his full cooperation with the Grievance Committee and this Court; his genuine remorse and contrition; the lack of harm to any client; as well as his previously unblemished disciplinary record. However, the record reveals that the respondent’s conduct in failing to file his personal income tax return was not aberrational. Indeed, the respondent, a seasoned attorney, failed to honor his New York State and Federal personal income tax obligations for nearly two decades. From 1991 through 2002, although the respondent filed both his New York State and Federal income tax returns, he failed to pay the taxes due. From 2003 through 2007, the respondent failed to file his New York State and Federal income tax returns, as well as pay any tax due. It was not until the respondent was under investigation by the New York State Department of Taxation and Finance, in 2008, that he began to take corrective action. Nonetheless, he continued to fall short of his obligations, as evidenced by his failure to timely file his income tax returns for tax year 2009, which led to the underlying conviction. As a result of the respondent’s failure to honor his personal income tax obligations, he has amassed combined New York State and Federal tax liabilities of approximately $800,000, including interest and penalties. Although the respondent candidly accepts responsibility for his actions, he is unable to offer an explanation for his wrongful behavior.

The court rejected the attorney’s plea for a censure and noted that payment of one’s fair share of the tax burden is an obligation owed by all citizens. (Mike Frisch)