Miles J. Julison may need to re-read the tax criminal mastermind handbook, based on this Oregonian story. A condensed timeline drawn from the story shows some rookie mistakes:
He claimed he was owed a refund of $411,773 based on these amounts, and the IRS mailed Julison a check for that amount.
Prosecutors say he used the money to pay $101,997 toward a home loan, $62,000 for a Mercedes-Benz, and $58,656 toward credit card bills. He also bought a boat.
Some internal controls you have there, IRS. Nothing suspicious about that filing, eh?
…for reasons that still baffle prosecutors, Julison walked into the criminal investigation division of the Portland IRS office to talk to federal agents.
“During this conversation, Julison stated several standard tax protestor/sovereign citizen positions,” prosecutors wrote in a trial brief.
I don’t think consulting with criminal investigators who have yet to contact you is considered standard master criminal procedure.
January 2009: Not content to wait for his refund this time, he files a 2008 1040 showing interest income of $2.3 million and claiming a $1.5 million refund. Alert readers may by now recognize this as the absurd 1099-OID “redemption” scam, based on the idea that the government is sitting on a bunch of money for each of us, waiting for our 1099-OID refund claims.
…two IRS agents told Julison he was under criminal investigation. He responded by giving them a long interview to explain how he had prepared his 2007 and 2008 tax returns.
I believe exercising Fifth Amendment rights and engaging legal counsel is a more conventional approach in such situations.
The indictment soon followed. Mr. Julison declined counsel, and the predictable conviction ensued. Perhaps Mr. Julison never believed he was in real trouble, based on his behavior after he was found guilty:
Julison, who calls himself “a bond servant of Jesus Christ,” said he did not recognize the jurisdiction of Simon’s court. But he seemed to appreciate the two muscular deputy marshals who approached him with handcuffs. He went peacefully from the court wearing a dark, neatly tailored business suit.
Pro tip: No matter how much you are convinced that the judge has no jurisdiction over you, it does you no good when the IRS, the appeals courts, the Federal Marshals and the Bureau of Prisons think otherwise.