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Press Release

Pennsylvania Man Sentenced to Prison for Tax Evasion

For Immediate Release
Office of Public Affairs

An Aliquippa, Pennsylvania, man was sentenced to 18 months in prison for tax evasion, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division.

According to evidence presented in open court, William Rains failed to timely file his individual income tax returns for tax years 1997, 1999, and 2003-2006. Rains also filed false returns for 2000 and 2001, reporting zero income when he in fact he had earned income in those years. The Internal Revenue Service (IRS) assessed over $200,000 in taxes against Rains for all of these years, as well as for tax year 2008.

From July 2005 through December 2016, Rains evaded the payment of his taxes and sought to thwart IRS collection efforts. He concealed his income and assets from the IRS by using multiple bank accounts, entities, a nominee, and a false IRS financial form. He also caused his wife to move money into accounts in her name and to purchase bank checks to prevent the IRS from collecting taxes he owed.

U.S. District Court Judge Donetta W. Ambrose, sitting in Pittsburgh, Pennsylvania, also ordered Rains to serve three years of supervised release and to pay $207,634 in restitution to the IRS.

Principal Deputy Assistant Attorney General Zuckerman thanked special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorneys Shawn Noud and Christopher O’Donnell of the Tax Division, who prosecuted the case.   

Updated May 7, 2019

Financial Fraud
Press Release Number: 19-477