Florida Psychic Sentenced to Prison for Tax Crime, DOJ Says

Purported Psychic Sentenced for Evading Taxes

Defendant charged elderly woman $3.5 million for spiritual cleansing and exorcisms

Wednesday, January 17, 2018

BOSTON — A south Florida woman, who purported to be a psychic, was sentenced today in federal court in Boston for impeding the Internal Revenue Service by hiding more than $3.5 million of income that she was paid by an elderly Martha's Vineyard woman.

Sally Ann Johnson, a/k/a Angela Johnson, a/k/a Angelia Johnson, a/k/a Sally Reed, 41, was sentenced by U.S. District Court Judge Denise J. Casper to 26 months in prison and was ordered to repay $3,567,300 to the victim and to pay restitution in the amount of $725,912 to the IRS. In October 2017, Johnson pleaded guilty to attempting to interfere with the administration of the Internal Revenue laws.

Johnson owned and operated various businesses, including Flatiron Psychic, Psychic Match, Inc., and Psychic Spiritual Salon, Inc., all of which purported to offer “psychic readings,” “spiritual cleansing & strengthening,” and “meditation & healing.” From 2007 to 2014, Johnson was paid over $3.5 million by an elderly woman living on Martha's Vineyard to purportedly perform spiritual cleansing and healing services to rid the woman of demons through repeated exorcisms. Rather than reporting her income to the IRS and paying taxes on it, Johnson took steps to conceal it. Specifically, Johnson used an alias and directed the woman to send payments to at least three different bank accounts with which Johnson was associated, including an account in another person's name. Johnson then withdrew large portions of the woman's payments from the accounts in cash. In addition, Johnson accrued substantial charges on a credit card held in the name of the elderly woman, who ultimately paid the credit card bills, thereby concealing from the IRS the true extent of Johnson's income. Neither Johnson nor any of the businesses she operated filed a tax return or paid taxes on the income she received from the woman.

United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service's Criminal Investigation in Boston, made the announcement today. The Chilmark Police Department provided assistance with the investigation. Assistant U.S. Attorneys Sandra S. Bower and Brian A. Pérez-Daple of Lelling's Criminal Division are prosecuting the case.