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September 15, 2020


Federal court bars Fort Worth tax preparer from working

Allegations of wrongdoing can have a devastating effect on the lives of those facing the accusations. When this happens to individuals living here in Fort Worth, they could experience personal and professional ramifications that change their lives forever. For instance, a local tax preparer’s life recently changed after facing allegations of wrongdoing in his business.

According to reports, the man ran a tax preparation business here in Fort Worth under several names. Authorities accused the man of understating his clients’ tax obligations in hundreds of returns he filed for them for the 2017 and 2018 tax years. The Fort Worth man is said to have done this through fraudulent credits and deductions for things like business losses, charitable donations, and credits for energy and education.

Authorities said that in one case he created a fictitious business for a client and then deducted thousands of dollars in losses. A case was filed against him in the U.S. District Court for the Northern District of Texas. As at least part of that case, the man consented to never again own or operate a tax preparation business. He may also never again prepare tax returns for other people. Whether the allegations against the man are true will ultimately be decided in court, and it is not known whether the man faces any additional penalties related to the charges.

The fact is that tax preparers put themselves in a precarious position every time they assist a client with a tax return. They must rely on the information provided to them, which could get them into trouble. Anyone working as a tax preparer who finds themselves under scrutiny by authorities may want to enlist the aid of an experienced tax attorney to advise them of their rights and help them find the best outcome possible.

Taxpreparer Investigations