Twin Brothers Accused of $1.1 Million Tax Evasion Through Golf Tee-Time Business
LOS ANGELES – Twin brothers from Buena Park are facing federal charges for allegedly failing to report over $1.1 million in income to the IRS earned through a tee-time brokering business and their employment as MRI technicians, the department of Justice announced Thursday. Steve Kim and Ted Kim are accused of evading taxes on nearly $700,000 generated from their golf business between 2021 and 2023, and additional income from their jobs.
The case highlights a growing scrutiny of “tee-time brokers” who resell reservations at public golf courses, a practice Los Angeles officials recently began cracking down on. The Kim brothers’ alleged failure to report income and pay taxes underscores the IRS’s focus on ensuring all income, nonetheless of its source, is properly accounted for. If convicted, they each face significant prison time and financial penalties.
According to prosecutors, Steve Kim incorporated Birdie Tour Inc. in June 2022, serving as CEO and CFO, while Ted Kim acted as secretary. The brothers obtained an employer identification number and opened a business bank account. Despite earning ample income,they allegedly willfully failed to report a combined total exceeding $1.1 million to the IRS for the 2022 and 2023 tax years.
Prosecutors allege the brothers used the unreported funds to finance a lavish lifestyle, including a timeshare in Hawaii, purchases from luxury brands like Prada and Louis Vuitton, and the acquisition of luxury vehicles.
Steve Kim faces a statutory maximum sentence of five years in federal prison for tax evasion, an additional year for each count of willful failure to pay tax, and three years for making and subscribing to a false tax document. Ted Kim faces up to five years in federal prison for tax evasion and an additional year for each count of willful failure to pay tax. The examination is ongoing, and the brothers are awaiting trial.
