Background
Not known at this time.
Theories Advocated/Promoted
Kahn has claimed at various times that the IRS was not created by Congress, that the IRS doesn’t have the power to collect taxes, that the United States doesn’t actually include the states but is limited to the District of Columbia, and that the federal government can't tax you if you refuse government benefits (such as by refusing to participate in Social Security). He also promoted the use of the "corporation sole" as a tax avoidance device.
Books, Web Sites, Videos, and Organizations
Operated as "American Rights Litigators," later known as "Guiding Light of God Ministries," from 1996 through 2004.
Court Actions
According to the The New York Times, Kahn served time in federal prison from 1985 to 1987 for tax crimes. See David Cay Johnston, "Wesley Snipes Is Acquitted of Tax Felonies," The New York Times, Feb. 1, 2008.
In 2003, Kahn, "American Rights Litigators," and "Guiding Light of God Ministries" were enjoined from promoting the use of a "corporation sole" as an abusive tax shelter scheme. United States v. Eddie Ray Kahn et al., No. 5:03-cv-436-Oc-10GRJ (M.D.Fl. 12/29/2003)
Kahn was indicted on 4/5/2006, along with actor Wesley Snipes, of filing false claims against the United States and conspiring (with Wesley Snipes and Douglas Rosile) to defraud the United States. He immediately fled to Panama, where he was eventually arrested and extradited back to the United States. During the trial, Kahn refused the assistance of counsel and refused to attend the trial, claiming that the court had no jurisdiction over him. Although the jury found Snipes not guilty of those counts, Kahn and Rosile were convicted. United State v. Wesley Trent Snipes et al., No. 5:06-cr-00022-WTH-GRJ-1 (U.S.D.C. M.D. Fl. 2/1/2008). On 4/24/2008, Kahn was sentenced to ten years in prison.
Along with three other men, Kahn was also indicted in 2008, and then tried and convicted in 2010, of conspiring to defraud the United States and mail fraud in the operation of American Rights Litigators/Guiding Light of God Ministries. The evidence at trial showed that Kahn printed and sold "bills of exchange" that he claimed could be used to pay taxes, but which were actually worthless and fraudulent. On August 30, 2010, he was sentenced to 20 years in prison, which sentence will not even begin to run until he has served his sentence for filing false claims conspiring with Douglas Rosile to defraud the United States (see above). United State v. Eddie Ray Kahn et al., No. 1:08-cr-00271-RCL-1 (U.S.D.C. D.C.). As a result of this conviction, the Federal Bureau of Prisons changed the scheduled release date from July 18, 2015 to April 21, 2026.
Students/Disciples/Associates
Kahn's most famous client/victim was Wesley Snipes who apparently filed refunds claims, and stopped filing tax returns, on the advice of Kahn and Douglas Rosile, who was then working with Kahn. As noted above, Kahn and Rosile were both convicted of conspiracy to defraud and filing false claims because of their work for Snipes.
After receiving sample forms of bills of exchange from Guiding Light of God Ministries and sending them to the IRS in payment of taxes owed, Kenneth Heath was convicted of four counts of willfully attempting to evade the payment of federal income taxes and with one count of presenting fictitious financial instruments, for which he was sentenced to 21 months in prison. United States v. Kenneth Heath, 525 F.3d 451, 2008 TNT 98-21 (6th Cir. 5/19/2008). Heath served his time in Federal prison as inmate # 40858-039.
Vernice Kuglin also purchased the "tax reliance package" from Kahn's "American Rights Litigators," but then had to pay for a lawyer when she was indicted.
John Weisberg, a chiropractor in East Aurora, N.Y., stopped filing tax returns in 1995 and continued in his failure to file tax returns through 2003. In 1997, he engaged American Rights Litigators to respond to IRS notices he was receiving, and he was eventually prosecuted and convicted for willfully failing to file income tax returns and was sentenced to one year in prison. (U.S. Dept. of Justice Press Release 9/22/2010) Weisberg served his time as inmate # 15448-055 and was released from Federal prison on December 30, 2011.
Another client of "Guiding Light of God Ministries" was North Carolina doctor Rodney K. Justin, who purchased four "bills of exchange," sent them to the IRS, and was sentenced to three years in prison and ordered to pay over $600,000 in restitution to the Internal Revenue Service (IRS) for obstructing the internal revenue laws and for failing to file tax returns. (U.S. Dept. of Justice Press Release 10/19/2010) Dr. Justin served his time as inmate # 24436-057 and was released from Federal prison on May 29, 2013.
