Our Videos

October 25, 10

NEWS / Justice Department Sues Return Preparers in Florida and Missouri Who Allegedly Claimed More Than $70


Two Suits Are Part of Nationwide Enforcement Effort Against Promoters of Fictitious Withholding Scam

WASHINGTON - The United States has sued Iliana Sorensen of Hialeah, Fla., and Gerald A. Poynter II of Kansas City, Mo., seeking to bar them from preparing federal tax returns for others, the Justice Department announced today. Sorensen and Poynter are both alleged to prepare tax returns claiming fictitious withholding on their customersí returns in an attempt to claim large tax refunds.

The governmentís civil injunction complaints allege that Sorensen and Poynter have prepared federal income tax returns for customers claiming more than $70 million in fraudulent tax refunds that are based on fake withholding reported on Forms 1099-OID. While the Internal Revenue Service (IRS) detects and stops most fraudulent refund claims, the complaints allege that Poynterís and Sorensenís fraudulent tax return preparation has resulted in more than $7 million in erroneous refunds to their customers.

According to the complaints, the scheme Poynter and Sorensen employ is part of a trend among tax defiers to file frivolous tax returns and forms in an attempt to escape their federal tax obligations and steal from the U.S. Treasury.

Customers who participate in tax fraud schemes of the type alleged in the complaints may be subject to sizeable penalties for filing returns with excessive refund claims óincluding a penalty equal to 20 percent of the amount improperly claimed. The penalty applies even if, as usually happens, the IRS detects the false claim and blocks a tax refund. Thus a taxpayer improperly claiming a $2 million refund could be liable for a $400,000 penalty as well as other penalties and possible criminal prosecution.

Courts have barred preparers who used similar schemes in California , South Carolina , Georgia, and Tennessee from preparing tax returns for others.

In the past decade, the Justice Departmentís Tax Division has obtained hundreds of injunctions against tax fraud promoters and dishonest tax return preparers. Information about these cases is available on the Justice Departmentís website.

http://www.justice.gov/opa/pr/2010/October/10-tax-1198.html

 




Testimonials

AnnaMaria Realbuto
Thank you for all your assistance and efficiency...
Read More »
Kateryna Melnychenko
Thanks a lot Anton!...
Read More »
Rani Payne
Thank you so much! Iím sure I will be in touch again with something else that will need to be apost...
Read More »
Serge Bauer Law
Thank you again for your help with this case!...
Read More »



FAQ

HOW DO THE NOTARIAL FUNCTIONS OF U.S. CONSULAR OFFICIALS DIFFER FROM THOSE OF A U.S. NOTARY PUBLIC?
Read More »
Q. What is a Notice of Suit?
Read More »
Who Must Obtain a Health Care Worker Certification?
Read More »
Would a student with an undergraduate STEM degree but a master's degree in a non-STEM field be eligible for an extension of OPT based on the master's degree?
Read More »






News

April 12, 24
MI country scholarship program offers discounts for vital record retrieval
Read More »
April 10, 24
Brittany Hensel not listed as witness on conjoined twin sisterís marriage certificate
Read More »
April 5, 24
KY man forges death certificate to avoid child support payments
Read More »
March 30, 24
Criminal Record Haunts California Kidnapping Case
Read More »