Home » NEWS » Health » Doctor convicted of using phony church for tax shelter

Doctor convicted of using phony church for tax shelter

gavel judge moneyPASS CHRISTIAN — A Pass Christian doctor has been convicted of tax evasion for using a phony church as a tax shelter.

Timothy Dale Jackson, a 50-year-old orthopedic physician, has been found guilty on four counts of felony tax evasion and one count of obstruction of the due administration of the internal revenue laws.

Prosecutors say Jackson funneled his income through a Utah church founded as a tax shelter for its members.

Jackson had argued he took a vow of poverty in 2003 with the “Church of Compassionate Service,” an entity located in Utah later ruled in federal court to be nothing more than a “tax fraud scheme.”

Jackson argued that as a minister of the church he was exempt from paying any income tax. Despite his vow of “poverty,” prosecutors proved he made a substantial income practicing medicine, but had not filed a tax return or paid any income tax since 2003.

Prosecutors say Jackson, like the other members of the “church,” would “donate” their money to the church, but nearly all of it came back to him through church-owned debit cards and other means designed to conceal his income from the Internal Revenue Service. . The evidence showed 90 percent of Jackson’s income was returned to him, authorities said.

The IRS estimated Jackson owed more than $650,000 in taxes from 2006-2009 alone on income of $1.8 million, according to court records.

Jackson is scheduled for sentencing on Dec. 18 by U.S. District Court Judge Sul Ozerden.

Jackson is facing a maximum sentence of five years and a $250,000 fine for each count of tax evasion, and three years in prison and a $250,000 fine for obstructing the IRS.

Jackson’s business affiliations include Moriah LLC and a surgery center with offices in Gulfport and Diamondhead. He also performs surgeries at several South Mississippi hospitals.


… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.

If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.

Click for more info

About Megan Wright

Leave a Reply