Section of Taxation Publications
  VOL. 55
NO. 1
FALL 2001
Contents | TTL Home

 Note: The following is an excerpt from the introduction to the article as published in The Tax Lawyer. Author citations have been omitted for brevity. Tax Section members may read the article in its entirety in Adobe Acrobat format.
Recent Developments in the Federal Sentencing Guidelines for Tax Evasion: United States v. Thomas and Constance Twieg
Kathryn G. Holwill


In United States v. Twieg, the United States Court of Appeals for the Seventh Circuit upheld the district court’s sentencing of Thomas and Constance Twieg (the “taxpayers”) for tax evasion. In its calculation of the taxpayers’ sentences under the Federal Sentencing Guidelines (“Guidelines”), the Eastern District of Wisconsin included the taxpayers’ evasion of self-employment taxes in addition to their unpaid regular income taxes. The Seventh Circuit held this calculation was proper under the Guidelines.

Part I of this Note summarizes how the Guidelines are applied to federal crimes in general, and to tax evasion in particular. Part II explains the decisions of both the district and appellate courts. Part III analyzes the application of the Guidelines in Twieg and discusses both the deterrent effect of including the loss of self-employment taxes in the total tax loss and the rationale for doing sounder the proportionality principle of the Guidelines.



Published by
Section of Taxation, American Bar Association
With the Assistance of
Georgetown University Law Center


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