North Carolina Man Sentenced to Federal Prison for Tax Fraud

FLORENCE, S.C.-Oliver Austin Thomas, III, 50, formerly of Myrtle Beach, South Carolina, now residing in Raleigh, North Carolina, has been sentenced to more than a year in federal prison for failure to file an income tax return and tax evasion.

Evidence obtained in the investigation revealed that in 2020 and continuing into 2021 and 2022, Thomas gambled at several casinos in Las Vegas, Nevada, resulting in substantial winnings. Thomas then attempted to evade paying income taxes on his winnings by providing false social security numbers to casinos to hide the gambling income. During the investigation, Thomas denied using another individual's social security number when interviewed by IRS agents. Thomas failed to file a tax return for tax years 2020, 2021, and 2022, despite having enough income to trigger a filing requirement, resulting in a tax loss of $446,072.

United States District Judge Sherri A. Lydon sentenced Thomas to a total term of 15 months imprisonment, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system. The court also ordered Thomas to pay $446,072 in restitution.

"By willfully evading tax responsibilities, this defendant isn't just cheating the government, but he is also shifting the burden of maintaining our nation's taxpayer funded systems onto the shoulders of honest, hardworking Americans," said U.S. Attorney Bryan Stirling for the District of South Carolina. "Our office remains committed to ensuring that the law applies equally to everyone, and we will continue to prosecute those who attempt to bypass their civic duties for personal gain."

"It's important for the American people to know everyone is complying with their tax obligations," said Special Agent in Charge Donald "Trey" Eakins, Charlotte Field Office, IRS Criminal Investigation. "This sentence is a positive message to honest taxpayers and further exhibits the partnership between IRS-CI and the U.S. Attorney's Office who are committed to protecting the integrity of the tax system and ensure compliance with their tax obligations."

This case was investigated by the IRS-CI Charlotte Field Office. Assistant U.S. Attorney Lauren Hummel prosecuted the case.

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