Business owner sentenced to prison for tax evasion

Terry Edward Elliott, of Nixa, was sentenced in federal court Wednesday to 21 months in federal prison without parole for failing to file federal tax returns for three years.

Elliott - who owned and operated TE Mortgage Corp. and was employed by a software company and a title company - has not filed a timely tax return since 1993 and owes approximately $457,400 to the Internal Revenue Service, according to a news release from U.S. Attorney for the Western District of Missouri Matt J. Whitworth. That amount, however, includes penalties but not interest, which accrues until the taxes are paid.

For each year between 2001 and 2006, Elliott failed to file income tax returns as required, the release said. In October 2004, after being notified of a civil audit for 2000 and 2001, he filed returns for those years. His returns for 2002-2006, all delinquent, were only filed after he was informed of a criminal investigation in December 2007.

According to previous Springfield Business Journal coverage, Elliott pleaded guilty in December 2008 to failing to file federal tax returns on nearly $900,000 in gross income.

The case was prosecuted by Assistant U.S. Attorney Steven M. Mohlhenrich and investigated by IRS-Criminal Investigation. Sentencing was handed down by U.S. Chief Magistrate Judge James C. England.