You can say many things about Texas, but rarely will people say that it’s people are boring. Even criminals tin Texas seem to have more flair. Daniel Thody, age 45, formerly of Blanco, Texas is no exception. (His current address is c/o the Central Texas Detention Facility in San Antonio – more on that below.) Thody is currently on trial for tax evasion in a San Antonio federal court.
Prosecutors charged Thody with 5 counts of felony tax evasion. They say he obtained 117 defense department contracts but failed to report taxes on the millions earned from those contracts. We think it’s ironic that a person would take government money – money from the agency responsible for defending our freedom – yet won’t pay taxes.
What makes this case most unusual is Thody himself. According to news reports, he believes in the overthrow of the government. Apparently, he feels the church should take over the country. We respect everyone’s right to their own beliefs, but if one wants to get rid of the government, why do work as a contractor for the government?
We can think of only one reason. Greed. When it came down to money or personal beliefs, Thody apparently chose money.
The Thody family seems to have an anti-establishment streak. KENS TV news in San Antonio says Thody’s father, Walter Thody, is in federal custody after being implicated in two Oklahoma bank robberies and a shoot out with cops. His father is allegedly associated with a sovereign citizen movement called the Silent Brotherhood.
As IRS tax lawyers, we see plenty of tax evasion cases every year. Most involve business owners who cut corners, kept two sets of books or made a few bad choices that just snowballed out of control. Thody’s case, however, is different. He appears to be a true tax protester – one that wants to overthrow the government too.
Obviously, an indictment is only an accusation of a crime. Whether Thody believes in our form of government or not, he is presumed innocent until proven guilty. His trial began last week and should be wrapping up within a day. If convicted on all counts, he faces 25 years in prison.
Thody has been held without bail since his arrest. At his detention hearing, he denied having any desire to overthrow the government, although the court found that he made statements claiming the government was the “enemy” and that he was “fleecing the enemy.” Those statements resulted in him being denied bail.
If you are a tax protester, we probably can’t help you. If you are an otherwise good person who made some mistakes, however, we can help. Our goal is to help people come into compliance while defending their liberty and minimizing the taxes and penalties they must pay. If you are contacted by the IRS criminal division or know you have potential criminal exposure, contact one of our experienced criminal tax lawyers immediately.
Mahany & Ertl – America’s Tax Lawyers. IRS tax related services available anywhere in the U.S. and worldwide.