ER doctor making over $30K a month dodged taxes for 7 years in Mississippi, jury finds
A federal jury found a Mississippi doctor guilty of evading taxes after prosecutors said he stopped filing income taxes for seven years.
Dr. Kevin L. Crandell was convicted after a three-day trial in the Northern District of Mississippi, the U.S. Attorney’s Office said in a news release on Friday, March 4. Crandell faces up to five years in prison when he’s sentenced on June 7.
“Millions of Americans pay their income taxes every year,” U.S. Attorney Clay Joyner said in the release. “Those who intentionally attempt to mislead the IRS and fail to pay income taxes that they legitimately owe will face the consequences.”
Crandell could not be reached for comment, and defense attorneys representing him did not immediately respond to McClatchy News’ request for comment on March 4.
Prosecutors said Crandell earned between $30,000 and $40,000 a month working as an emergency room doctor. He is from Golden, Mississippi, a town of fewer than 200 people next to the Alabama state line.
But in 2007, Crandell reportedly stopped paying taxes. For seven years between 2006 and 2012, court filings show, Crandell did not pay any income taxes to the Internal Revenue Service. His failure to pay resulted in a $972,493 tax bill, the government said.
In an attempt to negotiate a payment plan with the IRS in 2014, Crandell submitted what’s known as a Form 433-A, which lists a person’s income and expenses to help determine how much they can afford to pay on an outstanding tax liability.
But prosecutors said he lied on the form, saying he couldn’t make any payments on his taxes because his income was less than his expenses. Crandell specifically indicated that his living expenses totaled $12,133 but he only earned $11,783 a month, according to court documents.
He actually made at least $5,000 more a month than what he reported, court filings state.
Crandell also intentionally left off certain assets and bank accounts when he submitted the Form 433-A, the government said.
“Though Crandell attempted to blame a tax resolution service he hired in 2010, the evidence at trial showed that Crandell intentionally manipulated his pay stubs to show a decrease in his 2014 annual income before submitting the pay stubs to the tax resolution service,” the government said.
A grand jury indicted Crandell in October 2020, and he was released on a $50,000 bond, court documents show.
The case went to trial on Feb. 28.
Records filed with the Mississippi State Board of Medical Licensure show Crandell graduated from medical school in 2001 and still has an active license.