NC Tax Return Preparer Sentenced to Prison for Preparing and Filing False Tax Returns
Marvin Flythe admitted to filing at least 36 false tax returns for clients, for which $130,949 in fraudulent refunds were paid
A Greensboro, North Carolina man has been sentenced to serve 18 months in prison for aiding and assisting in the preparation of false tax returns, Principal Deputy Assistant Attorney General and head of the U.S. Justice Department's Tax Division Caroline D. Ciraolo announced today. Ciraolo was joined by U.S. Attorney Ripley Rand of the Middle District of North Carolina for the announcement.
Marvin Flythe admitted that he ran "TAXHOVA," a tax preparation business in Greensboro, and maintained a YouTube video channel on which he advertised TAXHOVA.
According to the Justice Department, Flythe prepared and filed numerous individual income tax returns for clients on which he reported false business losses and false unreimbursed employee business expenses. The fraudulent returns were filed between January 2012 and January 2015.
Flythe admitted to filing at least 36 false returns for clients, for which $130,949 in fraudulent refunds were paid. Flythe also admitted to filing false personal returns which underreported his income for tax years 2011, 2012, and 2013—as well as failing to file his 2014 return.
Flythe pleaded guilty in August to four counts of preparing false individual income tax returns for clients. In addition to the term of prison imposed, Flythe was ordered to serve one year of supervised release and to pay restitution in the amount of $105,128.04 to the Internal Revenue Service (IRS).
Additional information about the U.S. Justice Department's Tax Division and its enforcement efforts may be found on the Division's website.