Our Videos

March 21, 12

NEWS / Justice Department Seeks to Bar Las Vegas Couple from Preparing Federal Tax Returns


Tax Factory Inc. Allegedly Manufactures False Tax Deductions

The United States has sued Marge L. Cellini and Harry Portnoy of Las Vegas seeking to bar them from preparing federal tax returns for others, the Justice Department announced today. According to the government complaint, Cellini and Portnoy, who are married and do business as Tax Factory Inc. and/or Myst Inc., repeatedly prepare tax returns that include false or inflated deductions for personal or business expenses in order to reduce their customers’ federal income tax liabilities fraudulently.



Among the allegations cited in the complaint, Cellini and Portnoy advise their customers to form corporations and then claim false or grossly exaggerated deductions for purported business expenses on the corporate tax returns they prepare. The government alleges that the bogus deductions create phony business losses or reductions in corporate income that carry over to the customers’ personal income tax returns, thereby fraudulently reducing the customers’ taxable income.



According to the complaint, an Internal Revenue Service (IRS) investigation revealed that Cellini and Portnoy claimed refunds for their customers on nearly 90 percent of the returns they prepared. The suit alleges that Cellini and Portnoy attempted to hide their improper return-preparation activity by repeatedly failing to identify themselves as the preparers of tax returns – sometimes fraudulently using Cellini’s ex-husband’s social security number as their preparer identification number. Despite this, the IRS was able to identify nearly 1,000 federal tax returns allegedly prepared by Cellini and Portnoy since 2001. The complaint alleges that the defendants’ misconduct may have cost the U.S. Treasury tens of millions of dollars.



The IRS lists return preparer fraud as one of its “Dirty Dozen” tax scams for 2012. In the past ten years, the Justice Department’s Tax Division has obtained hundreds of injunctions to stop the promotion of tax-fraud schemes and the preparation of fraudulent tax returns. Information about these cases is available on the Justice Department website .

http://www.justice.gov/opa/pr/2012/March/12-tax-346.html

Tags: corporation,
 




Testimonials

Niranjan Sujay
I recently used LOGOS INTERNATIONAL for the translation of my bachelor’s certificate, and I couldn’t...
Read More »
Katia Nagata

As a foreigner, I needed a certified translation, so I called the DOE to give me a list of the ce...
Read More »
AnnaMaria Realbuto
Thank you for all your assistance and efficiency...
Read More »
Kateryna Melnychenko
Thanks a lot Anton!...
Read More »




FAQ

How does cap-gap occur?
Read More »
I have a document issued in Portugal (or any other Portuguese-speaking country). Does it need a sworn translation to be acceptable in Brazil?
Read More »
How much does an apostille cost?
Read More »
CAN A NOTARY PUBLIC FROM THE UNITED STATES PERFORM THAT FUNCTION ABROAD?
Read More »






News

December 12, 24
Death certificate issue creates controversy in Daniel Penny trial
Read More »
December 9, 24
Philippine woman applies for No Record of Marriage certificate but receives Marriage Certificate instead
Read More »
December 5, 24
US President-elect Donald Trump backs ending “double taxation” for Americans residing abroad
Read More »
December 4, 24
Canada Post strike causes delays in British Columbia marriage certificate applications
Read More »