Fort Collins man is sentenced to prison for tax evasion and ordered to pay the IRS over $200,000 in restitution
DENVER – Brian E. Annis, age 56, of Fort Collins, Colorado was sentenced yesterday by U.S. District Court Judge Christine M. Arguello to serve 9 months in federal prison, for income tax evasion, United States Attorney John Walsh and IRS Criminal Investigation Special Agent in Charge Gilbert R. Garza announced. Following his prison sentence, Annis was ordered to serve 3 years each on supervised release. He was also ordered by Judge Arguello to pay $ 206,324.63 in restitution to the IRS. Annis pled guilty on September 26, 2014 and was indicted by a federal grand jury in Denver on April 8, 2014.
According to information contained in the plea agreement and indictment, from 2001 through 2006, Annis willfully failed to file his personal federal income tax returns for tax years 2001 through 2006 and willfully evaded the payment of taxes, penalties and interest assessed to him by the IRS for those tax years. In late 2004, Annis paid Creative Consulting Group and Joe Hill $2,100 to create an "International Business Trust" called Glacier Mountain Holdings, where Hill was appointed as the "Managing Fiduciary Party" so that Annis's personal residence could be placed in the trust. On December 3, 2004 Annis moved his personal residence into this trust for various reasons, including general asset protection and hiding the house from the IRS.
On December 30, 2005, in order to refinance the house, the house was transferred back to Annis and his spouse where it remained for nearly two years. On November 29, 2007, Annis sent an email to Hill in which stated: "For now, we need to get the house back into the trust. .... I don't know when the IRS is going to do an asset search (maybe they already have)." On December 4, 2007, Annis and his spouse transferred the house back into the trust.
Between December 2007, and March 2010, Annis annually paid Creative Consulting Group and Hill to maintain Glacier Mountain Holdings. Joe Hill was convicted on related charges in the District of Wyoming following a jury trial.
This case was investigated by Internal Revenue Service – Criminal Investigation and prosecuted by Assistant U.S. Attorney Pegeen D. Rhyne.