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Justice News

Department of Justice
U.S. Attorney’s Office
Western District of Kentucky

FOR IMMEDIATE RELEASE
Monday, June 15, 2015

Clinton County, Kentucky, Man Guilty Of Filing False Tax Returns

Failed to report earnings and pay income taxes on $386,183.67 during a six year period and overstated business expenses of $581,519.91

BOWLING GREEN, Ky. – A Clinton County, Kentucky, man pleaded guilty today in United States District Court to six counts of failing to report approximately $386,183.67 in income and royalty income during a six year period and for overstating business expenses of $581,519.91 announced Acting United States Attorney John E. Kuhn, Jr.

Steven L. Burchett, age 50, admitted in court, before U.S. District Judge Greg N. Stivers, to willfully making and subscribing U.S. Individual Tax Returns, for the calendar years 2006 through 2011,which were written under the penalty of perjury and filed with the Internal Revenue Service, (IRS) and included information he did not believe to be true and correct.

Specifically, on October 11, 2008, Burchett filed a U.S. Individual Tax Return for calendar year 2006, with the IRS, in which he failed to report approximately $224,735.76 of additional income on Form 1040 line 22.

On October 8, 2008, Burchett filed a U.S. Individual Tax Return, for the calendar year 2007, with the IRS, in which he failed to report approximately $27,003.91 of additional income on Form 1040, Line 22.

On October 15, 2009, defendant Burchett filed a U.S. Individual Tax Return, for the calendar year 2008, with the IRS, and included information he did not believe to be true and correct.   Specifically, the return overstated approximately $41,394 in business expenses on Schedule C, Line 28, and failed to report royalty income of approximately $18,236 and understated approximately $56,895 in additional income on Form 1040, Line 22.

On April 15, 2010, defendant Burchett filed a joint U.S. Individual Tax Return, for the calendar year 2009, which was made under the penalty of perjury and was filed with the IRS, and included information he did not believe to be true and correct.  Specifically, the return overstated approximately $90,650 in business expenses on Schedule C, Line 28, and failed to report approximately $38,323 in royalty income and understated approximately $123,225 in additional income on Form 1040, Line 22.

On April 15, 2011, defendant Burchett filed a joint U.S. Individual Tax Return, for the calendar year 2010, which was made under the penalty of perjury and was filed with the IRS, and included information he did not believe to be true and correct.  Specifically, the return overstated approximately $305,564 in business expenses on Schedule C, Line 28, and failed to report approximately $64,490 in royalty income and understated approximately $360,380 in additional income on Form 1040, Line 22.

On April 15, 2012, defendant Burchett filed a joint U.S. Individual Tax Return, for the calendar year 2011, which was made under the penalty of perjury and was filed with the IRS, and included information he did not believe to be true and correct.  Specifically, the return overstated approximately $72,050 in business expenses on Schedule C, Line 28, and failed to report approximately$74,778 in royalty income and understated approximately $135,611 in additional income on Form 1040, Line 22.

If convicted at trial, Burchett could have been sentenced to three years in prison on each of the six charges for a total of eighteen years, a total fine of $1,500,000., and a period of up to one year of supervised release.  Sentencing is scheduled in Bowling Green on September 14, 2015 at 10 a.m.

This case is being prosecuted by Assistant United States Attorney Joshua Judd and is being investigated by the Criminal Investigation Division of the Internal Revenue Service.

Updated June 15, 2015