Defendant's tax fraud conviction is affirmed where: 1) the district court properly included defendant's unpaid state taxes in the tax loss computation on which his term of imprisonment and his restitution order were based; 2) defendant was not entitled to an imputed deduction for his unpaid state taxes; and 3) the district court properly applied the sentencing enhancement because defendant's actions obstructed an IRS audit. However, defendant's sentence is vacated per a separate unpublished memorandum.
Argued and Submitted October 13, 2009
Filed January 13, 2010
Opinion by Judge Graber
Theodore Y. H. Chinn and Howard T. Chang, Honolulu, HI