Jack Carlo Isaacs, Tax Evasion, California 2016

Oakland Dentist Jack Carlo Isaacs, 73, pleaded guilty to tax evasion in a federal court in Oakland, California. Isaacs, a practicing dentist since 1972, specializing in endodontics, root canals, and dental implants, owned and operated Isaacs Dental, Inc. from 1997 through the present.

According to the plea, Isaacs acknowledged that as of September 26, 2012, he knew he had unpaid federal income tax liabilities for 2002, 2003, 2005, 2009, 2010 and 2011 in the amounts of $35,128.09; $47,313.00; $6,418.00; $31,692.00; $41,739.00; and $9,013.00, respectively.

Isaacs admitted that between September 26, 2012, and April 2, 2013, he attempted to evade and defeat the payment of his federal income tax liabilities by committing various affirmative acts, including sending checks to the IRS with insufficient funds, and creating fake money orders.

Isaacs sent a check to the IRS in the amount of $414,300, to be applied to his tax liabilities for 2003, 2005, 2009 and 2010, knowing that there were insufficient funds in that account, and that he had closed the account. He also sent a check to the IRS in the amount of $9,122, to be applied to his 2011 tax liability, knowing there were insufficient funds in that account, and that he had also closed this account.

Isaacs caused fake money orders to be sent to the IRS to be applied to his 2002, 2003, 2005, 2009, 2010 and 2011 tax liabilities. He did so knowing that these money orders were fake because they were drawn on a fictitious account at the Federal Reserve Bank.

Isaacs filed a Petition to Cease and Desist in the United States District Court for the Northern District of California, Case No. 13-cv-01394-WHO (N.D. Calif.), requesting that the court order the IRS to “cease and desist all collection activities” because Isaacs had paid his taxes. He filed the suit to mislead the Court into believing that his taxes had been paid with the fake money orders, along with submitting a copy of another fake money order to the district court and to the IRS in the amount of $1,272,338.

Isaacs was charged on April 21, 2016, with one count of attempting to evade and defeat the payment of tax for 2002, 2003, 2005, 2009, 2010 and 2011. He pleaded guilty to the charge and agreed to pay $219,371.08 to the IRS which includes the sum of the taxes he owed plus interest. Isaacs is scheduled to be sentenced by the Honorable James Donato on October 27, 2016, at 9:30 a.m., in Oakland.

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