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NWA pilot convicted of tax evasion

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MSNFlier

Well-known member
Joined
Nov 26, 2001
Posts
118
NWA pilot convicted of felony tax evasion
Liz Fedor
Star Tribune

Published Oct 22, 2002

Northwest Airlines pilot Geoffrey Hickman was found guilty Monday of five felony counts of tax evasion, and he could be sentenced to up to 19 months in prison.

Hickman, 59, is the first of seven Northwest pilots being prosecuted over accusations of failing to pay Minnesota income taxes.

Dakota County District Judge Karen Asphaug concluded that Hickman evaded Minnesota income taxes from 1996 to 2000, even though he had lived in a custom-built home in Mendota Heights since 1995.

Prosecutors said Hickman should have paid more than $50,000 in Minnesota income taxes during those years.

Hennepin County Attorney Amy Klobuchar said, "Hickman knowingly and willingly evaded Minnesota income taxes by fraudulently claiming to live in a post office box in Florida, which is a state that doesn't have income taxes."

The tax-evasion cases originated with investigations by the Minnesota Department of Revenue. To provide consistency of prosecution, Hennepin County is handling all of the cases of pilots to be tried in Hennepin, Dakota and Washington counties.

Over a five-year period, Hickman listed a post office box in Carrabelle, Fla., as his address on his W-2 and federal income tax returns. In a written ruling, the judge said that Hickman had a fully furnished home in Minnesota and claimed homestead status on that residence for property tax purposes. She said he also registered two cars in Minnesota. The judge concluded that Hickman knew he had an obligation to file Minnesota income tax returns but "willfully failed" to file them.

"This was not a case of inadvertently forgetting to file taxes," Klobuchar said, adding that Hickman took "numerous steps to deliberately evade paying income taxes."

Bob Malone, Hickman's defense attorney, declined Monday to comment on whether an appeal will be filed. Hickman is scheduled to be sentenced Dec. 12.

Klobuchar said her attorneys haven't settled on a sentencing recommendation, but Hickman will have to pay the taxes owed and penalties. Sentencing guidelines call for up to 19 months in prison, she said.

Hickman is still flying, Malone said.

But pilots might lose their jobs if felony convictions prevent them from getting the security clearances they need to gain access to cockpits.

Northwest spokesman Bill Mellon said, "We are investigating the impact of today's conviction on Mr. Hickman's employment status at Northwest Airlines."

Hickman is approaching the mandatory retirement age of 60, but pilots still facing prosecution are in their 30s, 40s and 50s.

The second tax-evasion trial is set for Dec. 2 in Washington County.

-- Liz Fedor is at [email protected].
 
good! he should get the proper penalties.

d@mn conservanazis are still letting mega companies get out of paying their share due to whacko loopholes like opening up a PO box in the Bahamas.

further, this scam about registering your airplane in Delaware to avoid taxes is criminal and downright un-American.

The Patriotic Flag Burner
 
Down with taxes!! No, I mean that literally, lower the tax rates. That guy pays more in state income tax than I bring home in a year!!!

P.S. You had better pay your taxes or the storm troopers will come beat down your door and take you away (even though paying taxes is supposedly voluntary).
 
Un American?

Anybody want to comment on the irony USFlagBurner's accusation that something anyone else might do is Un-American?

Wow, USFlagBurner, let's dial the rhetoric back a few hundred notches. I'll bet no one ever taught you that until the 20th century (The 16th amendment was ratified February 3, 1913), income taxes were unconstitutional.

Well, not until now anyway...
 
Time out on this

Minnesota is one of the FEW states that taxes you for being "domiciled" within the state.

If you are domiciled there for I think it is at least 6 months or so you OWE Minnesota a tax in addition to ANY tax your permanent state of residence charges you.

So, to a commuter like most of us are.. would you want to pay a tax for basically going to work?

This dude has other issue's, but this is sort of common practice for many guys who commute into MSP... find a way to avoid that extra tax, who would not try it?

enough of my .02....
 
Welcome to Minnesota,
Land of 10,000 Lakes or should I refraise, 10,000 Programs.
The State has to pay for all their programs some how. Yes I have a very large right to whine I live there and pay through to nose in Taxes. I must say the prosecutor in me feels this pilot isn't the brightest one out there. He didn't even try to comply with the laws or "loop holes". Now he has to pay the price....

KlingonLRDRVR
 
Yeah, you "refraise" it moron, having the essential infrastructure to compete is not free. Although taxes are probably not spent as thriftily (sic) as anyone would like, it costs money to be part of the global economy. Do business or get left behind, there's lots of other places to go.
 
When you have a wife, kids in school, and a house in a specific state, it's pretty hard to say that you don't live there. And not paying state income tax (if that state requires it) is downright illegal. No if's, and's, or but's about it.

Now if you are a single airline pilot, it's a little tougher for the IRS to prove where you live. Being that you have the ability to be so mobile, you can actually live anywhere... or multiple places.
 
Houses

flight crew says:
When you have a wife, kids in school, and a house in a specific state, it's pretty hard to say that you don't live there.

flight-crew, we've all heard about airline pilots that had 3 wives and 3 houses in 3 states - and kids in 2 places..... they got theirs in the end, I'll bet sombody made them pay income tax in all 3 places!

On a more realistic note, why can't my state of residence be a post office box?
 
>>>>>Minnesota is one of the FEW states that taxes you for being "domiciled" within the state.


In a similar money grabbing ploy, New York City has an income tax for anyone who *works* in the city. Never mind that you may actually live outside the city, or even in New Jersey or Connecticut. Any excuse to reach into your pockets.

regards
 
flight-crew said:

Now if you are a single airline pilot, it's a little tougher for the IRS to prove where you live. Being that you have the ability to be so mobile, you can actually live anywhere... or multiple places.

Actually, with the IRS, you are GUILTY until proven innocent. So the burden of proof is on you.
 

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