Our Videos

March 16, 10

NEWS / Justice Department Sues to Block Alleged $15 Million Dollar Tax Fraud Scheme Operating in Southern C


Family Tax Prep Business in Huntington Beach, Calif., Allegedly Requests Huge Fraudulent Tax Refunds By Claiming Bogus Withholdings

WASHINGTON - The United States has sued a father and two sons, all of Huntington Beach, Calif., seeking to bar them and their business from preparing federal tax returns for others, the Justice Department announced today. According to the government complaint, Alexander Adams and his two sons, Garrett and Brandon Adams, operate Adams Beach Income Tax in Huntington Beach. The suit alleges that the Adamses have attempted to siphon over $15 million in fraudulent refunds from the U.S. Treasury for customers and for themselves.

The complaint says the defendants prepare federal income tax returns claiming massive fraudulent tax refunds based on fabricated income tax withholdings. According to the complaint, Alexander and Garrett Adams requested two fraudulent refunds for $2.5 million a piece Ė one for Garrett Adams himself, and the other for a customer. Alexander Adams also requested a bogus refund for himself in the amount of $361,147, the suit alleges.

According to the government complaint, Alexander and Garrett Adams falsify Internal Revenue Service (IRS) documents, including IRS 1099-OID Forms with fictitious tax withholdings to claim the bogus refunds. Brandon Adams allegedly seeks new business by promoting the tax fraud scheme through live seminars, Web sites, conference calls, CDs and one-on-one instruction. The complaint says the defendantsí scheme is part of a growing trend of filing frivolous federal tax returns and forms to steal from the U.S. Treasury.

Last week, a federal judge in Sacramento found that tax preparer Teresa Marty had been using the same scheme to seek bogus refunds for her customers, and permanently barred her from preparing tax returns for others.

"Taxpayers thinking of participating in the illegal scheme described in this lawsuit should consider that, in addition to risking criminal prosecution, they also risk incurring civil penalties of as much as 20% of the amount of their bogus refund claim," said John A. DiCicco, Acting Assistant Attorney General for the Justice Departmentís Tax Division. "For false claims on the scale described in this case, the 20% penalty could result in scheme customers losing their savings and their homes."

http://www.justice.gov/opa/pr/2010/March/10-tax-267.html

Tags: document,
 




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

Since some FY09 H-1B petitions for these students may have already been approved for consular processing when USCIS published this e-mail notification process, can the petitioner still request change
Read More »
Can two first cousins marry?
Read More »
Q. What is Proof of service via the diplomatic channel under Section 1608(a)(4)?
Read More »
What Are Employers Allowed to Ask on a Job Application or in an Interview?
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 »