Dallas Couple Allegedly Used Sham Trust To Hide Home From Possible Tax Foreclosure As Feds Bring Suit To Recover $1M+ In Back Taxes

In Dallas, Texas, The Dallas Morning News reports:

• The U.S. Justice Department's tax division sued a Dallas couple involved in the real estate business for alleged tax evasion Wednesday. The suit accuses John "Nicky" Sheets of failing to pay $537,433.63 in taxes, interest and penalties, and Eleanor Mowery Sheets of owing $1,111,904.69 in taxes, interest and penalties.

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• The suit accuses the two of setting up a "sham" trust to hide their residence from possible foreclosure related to earlier tax-related actions taken against them, and alleges a fraudulent transfer to the trust, which also owes more than $236,000 in back taxes.

For more, see Prominent Dallas Realtor faces $1.1M tax evasion suit.