COLUMBIANA, Ala. – Anthony Joseph “Sonny” Ippolito Jr., 57, of Birmingham, pleaded guilty Wednesday to a felony charge that he willfully subscribed to a 2019 Alabama income tax return that he knew was false, resulting in the tax loss of $10,575.
According to the plea agreement made public at the time of Ippolito’s plea hearing, between October 15, 2018, and May 18, 2020, Ippolito filed three Alabama income tax returns for the tax years 2017, 2018 and 2019, indicating that he was a gambler and had gross receipts from his gambling business totaling $300,600 in those years. However, pursuant to an investigation conducted by the Alabama Department of Revenue (ALDOR) Investigations Division, it was revealed that in those years Ippolito had gross receipts totaling $601,590. After the addition of penalties and interest, ALDOR determined that Ippolito owed a total of $17,567.92.
The plea agreement also states that because of Ippolito’s immediate cooperation with the investigation and prosecution, the State agrees to recommend that Ippolito receive a suspended sentence of three years of imprisonment along with a probationary sentence of two years.
“Income tax evasion and filing false returns are serious crimes committed against the State of Alabama, our taxpaying citizens, and the children of our state who lose funds vitally needed for their schools,” said Commissioner Vernon Barnett. “The State of Alabama will not tolerate corrupt and fraudulent tax filings.”
State income tax revenue is earmarked for the Education Trust Fund and is one of the fund’s major funding components. This case was investigated by agents of ALDOR’s Investigations Division and prosecuted by the Special Prosecutions Division of the Alabama Attorney General’s Office.
Tax Policy and Governmental Affairs Division