Opinion ID: 484731
Heading Depth: 2
Heading Rank: 2

Heading: Wage and Tax Statements

Text: 8 Bergman argues that the district court erred by admitting as evidence his W-2 and W-4 forms. He argues that these forms were unduly prejudicial and irrelevant because he was willing to stipulate to the information contained in those forms. We review the district court's decision for an abuse of discretion. Malquist, 791 F.2d at 1402. 9 The court's decision to admit the W-2 forms did not amount to an abuse of discretion. Information regarding Bergman's earnings was necessary to show that he was required to file a tax return. 26 U.S.C. Sec. 6012(a) (1982); United States v. Buras, 633 F.2d 1356, 1358 (9th Cir.1980). Even though Bergman was willing to stipulate to the amount of his income, the forms were still relevant to show willfulness--an issue which Bergman clearly contested. See, e.g., United States v. Green, 757 F.2d 116, 119-20 (7th Cir.1985). Finally, irrespective of the relevance of the W-2 forms, Bergman has shown no prejudice resulting from their admission. 10 Bergman objects to the W-4 forms as impermissible evidence of other crimes. See Fed.R.Evid. 404(b). Since the filing of a false W-4 form could provide the basis for prosecution under 26 U.S.C. Sec. 7205 (1982), we agree that it is evidence of other crimes under Rule 404(b). Nevertheless, evidence of other crimes may be admissible to show intent, knowledge, motive, etc., if: (1) the prior crime is similar and close enough in time to be relevant; (2) the evidence of the prior crime is clear and convincing; and (3) the crime is an element of the charged offense that is a material issue in the case. United States v. Bailleaux, 685 F.2d 1105, 1109-10 (9th Cir.1982). The probative value of the evidence must also outweigh any unfair prejudice. Id.; Fed.R.Evid. 403. 11 Here, the W-4 forms were similar and close in time to the section 7203 violations--they were filed during the same years. The forms showed that Bergman was claiming exempt status even though there was clear evidence that he had incurred income tax liability in the previous years and had failed to file proper tax returns. And finally, the forms were highly probative of Bergman's willful scheme of evading federal income tax laws. See Carlson, 617 F.2d at 519, 523-24; see also United States v. Verkuilen, 690 F.2d 648, 656 (7th Cir.1982).