Reality star Julie Chrisley's 7-year prison sentence vacated by appeals court

"Chrisley Knows Best" star Julie Chrisley will be resentenced in bank fraud and tax evasion case after appeals court reversed punishment against reality star.

Julie Chrisley earned a legal victory Friday when federal appeals judges threw out her sentence for bank fraud and tax evasion. 

The 11th U.S. Circuit Court of Appeals still upheld the convictions against Julie and her husband, Todd Chrisley, who were sentenced to a combined 19 years in prison in November 2022 after a jury found the couple guilty of conspiring to defraud community banks out of more than $30 million in fraudulent loans, in addition to conspiring to defraud the IRS.

A three-judge panel found a legal error solely in how the trial judge calculated Julie's sentencing, according to The Associated Press.

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Todd was originally sentenced to 12 years in prison, but had two years removed from his sentence. Julie was given a seven-year prison sentence after initially being indicted in August 2019 on bank fraud and tax evasion charges. Her sentence was reduced by 14 months in September 2023.

They will each have to complete 16 months of probation following the end of their prison sentences.

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A lower court must now redo her punishment on what the panel considered a "narrow issue," according to the outlet.

Todd and Julie's lawyer, Alex Little, told the outlet the Chrisley family was "hopeful for more good news in the future."

He added, "We’re pleased that the Court agreed that Julie’s sentence was improper, but we’re obviously disappointed that it rejected Todd’s appeal."

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During the Chrisley trial two years ago, prosecutors alleged that the Chrisleys had submitted fake documents to banks when applying for loans. In addition, they claimed that Julie also had submitted a false credit report and fake bank statements when trying to rent a house in California.

Annalise Peters, a representative of the United States Attorneys' Office, claimed that the evidence was "overwhelming at trial" that the Chrisleys had "conspired to evade the IRS."

Julie Chrisley's convictions included conspiracy to commit bank fraud, bank fraud, tax fraud and conspiracy to defraud the United States. She was also hit with wire fraud and obstruction-of-justice charges. She reported to the satellite minimum security camp at the BOP facility in Lexington, a source confirmed to Fox News Digital.

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Todd Chrisley was convicted of conspiracy to commit bank fraud, bank fraud, tax fraud and conspiracy to defraud the United States. He checked into the minimum security facility, Federal Prison Camp Pensacola

When it came to the Chrisleys former accountant, Peter Tarantino, who was sentenced to three years in prison for willfully filing false tax returns, Peters argued that Little had not shown any "actual compelling prejudice that results from this."

The Chrisleys did see a minor court victory in 2019 when the Georgia Department of Revenue cleared the couple of a $2 million state tax evasion charge stemming from a two-year investigation from nearly eight years of returns beginning in 2008.

The Department of Revenue dropped its claim that the couple owed more than $2.1 million in unpaid state taxes, penalties and interest, and updated the total outstanding debt to under $110,000.

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