IRS Sues Harrison Couple Over Back Taxes

by Arkansas Business Staff  on Monday, Jan. 7, 2008 12:00 am  

Meanwhile, the IRS has sued a Harrison couple in an attempt to collect more than $1.3 million in back taxes and interest payments.

The IRS also is trying to foreclose on 662 acres that Fred Neal Jr. and his wife, Doris, own in Boone County.

As of Dec. 4, the IRS said in its lawsuit filed in U.S. District Court, Fred Neal owed $801,000 for back taxes between 1987 and 1994. His wife owed $541,000 for the tax years 1988 through 1994.

The IRS said the Neals hadn't filed federal income tax returns since 1986.

The Neals also transferred the property they owed in 1997 in an attempt to hide assets and income from their creditors, including the United States, or so the IRS alleges.

Reached at home, Fred Neal, who is 75 and retired, said he didn't know anything about the lawsuit. But he said he thought he had made arrangements to settle the tax bill in September.

He also said he didn't know how the IRS came up with the $541,000 figure for his wife because she didn't work.

The IRS is seeking the money owed, plus interest and court costs, and it is trying to foreclose on the Neals' property.



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