Ismail J. Ramsey, U.S. Attorney | U.S. Attorney for the Northern District of California
Tae Hyun Lee, a chiropractor based in San Jose, has admitted guilt in federal court for aiding and assisting in the preparation of a false tax return for 2019. According to court documents and statements, Lee, aged 62, operated Gentle Chiropractic Care as its sole owner. He concealed income from his chiropractic practice from both his tax preparer and the IRS.
Between 2018 and 2020, Lee cashed over $1.4 million in checks at a check-cashing business instead of depositing them into his business account. Additionally, he deposited checks and electronic payments into personal accounts while misleading his tax preparer by claiming all income was banked into the business account. This led to underreporting of taxable income on his returns for those years.
The IRS suffered a tax loss of at least $439,028 due to these actions. The announcement was made by Acting United States Attorney Patrick D. Robbins alongside Linda Nguyen, Special Agent in Charge of the IRS Criminal Investigation Oakland Field Office.
Lee's plea agreement involves one count of aiding and assisting in filing a false tax return under 26 U.S.C. § 7206(2), which could result in up to three years imprisonment. Sentencing is set for September 24, 2025, before U.S. District Judge P. Casey Pitts. The final sentence will consider the U.S. Sentencing Guidelines and relevant federal statutes.
Assistant U.S. Attorney Michael G. Pitman is handling the prosecution with support from Sahib Kaur following an investigation by IRS-CI.
