South Dakota man charged in tax scheme

 

CARSON WALKERAssociated PressSIOUX FALLS, S.D. - A former Brookings man who used his parents' address to file a tax return hasbeen charged as the result of a tax shelter scheme, according to federal prosecutors.A grand jury in Sioux Falls indicted Robert Marking, 43, of Scottsdale, Ariz., on three counts oftax evasion and one count of conspiracy to impede the IRS in its attempt to assess and collect hisincome taxes.He pleaded not guilty to the charges Thursday and was released on bond. A trial date has not beenset. If convicted, Marking could get up to five years in prison on each count, a fine and be orderedto pay restitution.According to an affidavit filed in federal court, Marking became involved in 1998 with an anti-taxorganization called Anderson Ark and Associates, or AAA, which sold tax evasion programs.Justice Department officials called the venture one of the most far-ranging tax shelter schemes everprosecuted.The scheme involved investments in shell companies, illusory loans from Costa Rican bank accountsand other superficial transactions to make it appear that clients had legitimate, tax-deductiblebusiness expenses.Marking did not file federal tax returns from 1993 through 1997, and then in 1998 filed a returnthat applied supposed business losses from the three previous years, according to the affidavit.Marking used his parents' Brookings address to file the return, which is why the court case wasfiled in South Dakota. The return included a claim for a refund of $8.12, which was sent to thataddress, the document states.An investigation concluded that Marking actually owed $95,979 for 1998 taxes. The indictment againsthim also accuses him of not paying $78,414 for 1999 taxes and $131,148 for 2000.http://www.aberdeennews.com/mld/aberdeennews/news/11809254.htm