The Federal Bureau of Prisons has confirmed to Tax Analysts that Walter J. Hoyt died September 6 while in prison. Hoyt, infamous in the tax community for spawning decades of litigation based on his eponymous tax shelter scheme, had been serving out his sentences for fraud and money laundering in the Federal Correctional Institution in Terminal Island, San Pedro, Calif. No cause of death was made public.
Hoyt's scheme involved selling limited interests in cattle and sheep partnerships to thousands of unwary individuals eager to make an easy investment return. Audits by the IRS of the partnerships' and investors' tax returns showed that depreciation and tax credits had been claimed for nonexistent animals. The ensuing litigation involved deficiencies, interest, and penalties amounting to hundreds of millions of dollars and encompassed decades of judicial resources.
In 2001 Hoyt was convicted on 1 count of conspiracy to commit fraud, 31 counts of mail fraud, 3 counts of bankruptcy fraud, and 17 counts of money laundering. He was scheduled for release from prison in 2018.
A November 2004 Sacramento Business Journal article dated November 2004 gives his age as 64, which would make him about 67 at the time of his death.
Last edited by BBFlatt on Mon Sep 24, 2007 2:22 pm, edited 1 time in total.
When the last law was down and the devil turned 'round on you where would you hide, the laws all being flat? ...Yes, I'd give the devil the benefit of the law, for my own safety's sake. -- Robert Bolt; A Man for all Seasons