A federal court in the southern Florida District, West Palm Beach Division, has permanently banned four Palm Beach area tax filers from preparing federal income tax returns for others and from owning or operating tax returns in the future.
When issuing an injunction against Marcus Alty; Jeanait Mathurin; Prestige Tax Services Inc. (dba Just Tax Services LLC); and Excellent Tax Services “LLC” (dba Excellent Tax Services), the court found that the defendants were preparing tax returns making false or fraudulent claims for American Opportunity Tax Credit and Earned Income Tax Credit, often based on fabricated business income and expenses were based. The warrant also notes that the defendants made statements incorrectly listing fuel tax credits and false educational expenses. The civil lawsuit filed against the defendants alleged that their fraudulent activities caused the Treasury Department to lose over $ 5 million.
The injunctions against the defendants were neglected: Alty, Mathurin and Prestige Tax Services did not appear in the lawsuit, according to the injunction, while Excellent Tax Services responded but otherwise did not participate in the litigation. The court also ordered a 90-day investigation period to allow the United States to determine the appropriate levy on the ill-gotten gains the defendants received for preparing misreported tax returns.
This was announced by Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Department.
The return preparer scam is one of the filthy dozen tax evaders operated by the IRS and taxpayers seeking a return preparer should stay vigilant. (You can also find more information here.) The IRS has information on choosing a tax advisor on its website, has published a free directory of federal tax preparers, and offers information on how to avoid “ghost” tax preparers who should refuse to sign a tax return for be a warning sign to taxpayers. The IRS also has a list of important reminders for taxpayers who are about to file their 2020 tax returns, including how to prepare for a smooth filing process.
Over the past decade, the tax department has obtained injunctions against hundreds of unscrupulous tax advisors. You can find information on these cases on the Ministry of Justice’s website. You will find an alphabetical list of people who are prohibited from preparing declarations and promoting tax systems on this page. If you believe any of the subordinate individuals or companies is violating an injunction, please contact the tax department with details.