Christopher Huffman, Tax Evasion, Missouri 2013

Christopher Huffman, the owner of IG Construction, an asphalt and tree-trimming business formerly known as Interstate General Contractors, has been sentenced to two years and three months in federal prison without parole for filing a false income tax return. Huffman, 49, of Lexington, Mo., was sentenced by U.S. District Judge Dean Whipple on September 3, 2013.

According to court documents, Huffman engaged in a scheme to falsely under-report the gross receipts for his business on his tax returns for tax years 2006-2008 in order to significantly reduce his income tax liability. He claimed business expenses almost equal to his gross receipts, so that his reported income was low enough to claim the earned income tax credit.

The earned income tax credit is a refundable tax credit intended for workers earning a low to moderate income, which results in a tax refund for those whose credit exceeds the amount of taxes owed. However, Huffman’s lavish lifestyle suggested otherwise. During the time he claimed to earn less than $20,000 per year, Huffman lived in and owned a 4,000-square-foot house valued at $1.6 million, which had a 13-car garage, an in-ground pool/lake, a basketball court and a volleyball court.

Huffman also purchased a 2007 Cadillac Escalade, two classic Chevrolet Camaros and two Harley Davidson motorcycles during this time. In loan applications, Huffman claimed to have $10,700 in cash and received a salary of $65,000 in 2007, and listed his net worth at $2.4 million. In 2008, he claimed to receive a salary of $100,000 and that his net worth was almost $3 million.

The total tax loss to the United States is $484,505. Huffman was also ordered to pay $484,505 in restitution. The case was prosecuted by Assistant U.S. Attorney Kate Mahoney and investigated by IRS-Criminal Investigation.

Huffman pleaded guilty on February 4, 2013. The sentence is a result of a scheme to falsely under-report the gross receipts for his business on his tax returns for tax years 2006-2008.

Defendant information: Christopher Huffman, owner of IG Construction, was sentenced to two years and three months in federal prison without parole for filing a false income tax return in Lexington, Mo.

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