Litigation | Regulation

Miccosukee Tribe suing former attorney for per capita advice

Wednesday, November 30, 2011

The Miccosukee Tribe of Florida is suing its former lawyer, claiming he provided bad advice on the taxation of gaming revenues.

According to the lawsuit, Dexter Lehtinen, a former U.S. Attorney, assured the tribe that its members did not have to pay taxes on per capita payments. But the Internal Revenue Service disagrees and has gone after the tribe for distributing upwards of $40 million in gaming revenues a year.

“The Miccosukee Tribal members are not required to pay income tax, nor does the Tribe have any related withholding obligations," Lehtinen wrote in a memo to the tribe in 2006, The Miami Herald reported.

In May 2010, however, Lehtinen claimed the tribe "misunderstood" his advice, the paper reported. He was fired that same month.

Tribes can distribute gaming revenues. But the Indian Gaming Regulatory Act requires them to file a revenue allocation plan with the Bureau of Indian Affairs, something the Miccosukees reportedly haven't done.

Get the Story:
Miccosukee Indians sue their ex-lawyer, Dexter Lehtinen, for malpractice (The Miami Herald 11/30)