Whitehouse man guilty of income tax violations

SMITH COUNTY — A Whitehouse man has pleaded guilty to federal violations in the Eastern District of Texas Wednesday. Anthony D. Klein, 47, pleaded guilty to attempting to evade or defeat tax. According to information presented in court, for tax year 2016, Klein filed an IRS Form 1040, U.S. Individual Income Tax Return, with the Internal Revenue Service. On that form, he claimed that he had no taxable income and that he was entitled to credits in the amount of $5,836.00. In fact, he had taxable income of approximately $538,188.07 for tax year 2016. In filing the return, Klein intended to evade and defeat the payment of income tax that was due and owing to the United States.

Klein admitted that the tax loss for tax year 2016 is $194,780; for tax year 2017 is $98,431.00; for tax year 2018 is $74,191.00; and for tax year 2019 is $36,890.00, for a total tax loss of $404,292.00. Klein faces up to five years in federal prison. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.