A Jacksonville minister pleaded guilty this week to obstructing the IRS’ efforts to collect his tax debts, the Justice Department says.
Brian Carn Jr. operated a ministry under various names, including Healing House Ministries Inc., Brian Carn Ministries Inc., and Kingdom Culture City Churches, court documents say.
In 2016, his tax return reported that he earned more than $1.4 million in income and that he owed more than $600,000 in taxes. But he did not pay those taxes to the IRS, instead devising a scheme to deceive the IRS, officials say.
When the IRS tried to collect his unpaid taxes, placing liens on his properties and bank accounts, Carn amended his 2015 tax return and falsely removed nearly $1.3 million in income that he previously reported.
This was done through a new accountant who provided him with a fictitious, backdated employment agreement, officials say. That showed an annual salary of $120,000 and an annual parsonage allowance of $24,000, which Carn claimed to be all of his income for the year, court documents say. Yet Carn knew that the income he actually earned far exceeded what was in the employment agreement from the new accountant, court documents say.
Carn continued to operate under the fictitious employment agreement, filing more tax returns that drastically underreported his true income. And in 2020, he stopped filing tax returns, despite continuing to earn income by using ministry funds to pay for personal expenses, court documents say.
When the IRS tried to collect the outstanding taxes, Carn made a number of false representations and material omissions to the IRS to conceal his assets and income. That caused a loss of between $550,000 and $1.5 million in taxes to the IRS.
Carn faces a maximum penalty of three years in prison. A sentencing date has not been set.







