Martha G. Whitfield v. United States

In a jury trial, appellant was found guilty of having fraudulently attempted to evade or defeat the payment of federal income taxes, an offense proscribed by 26 U.S.C. § 7201 . She appeals from the judgment of conviction, invoking the power of review conferred upon us by 28 U.S.C. § 1291 .

The indictment consisted of two counts. The Government undertook to prove its case by the “net worth” method. It contends that the proof established that the appellant’s taxable income was $32,253.77 in 1958 and $13,373.49 in 1959. In her tax returns, appellant had reported that there was no taxable income in 1958 and that there was only $5,115.02 in taxable income for the year 1959.

The taxing authorities had been informed of the possibility that appellant had not been forthright in meeting her tax responsibilities to the United States, whereupon, on February 10, 1961, appellant was interviewed by an agent of the Internal Revenue Service. The interviewing agent displayed his credentials and advised appellant, in part, as follows:

The Government admits that its agent did not advise appellant of her right to have counsel in attendance during the interrogation. The district judge admitted…