Two Tax Preparers Plead Guilty to Using Stolen IDs to File Fraudulent Tax Returns

The defendants filed fraudulent tax returns for their clients seeking refunds to which the clients were not entitled

Two Tax Preparers Plead Guilty to Using Stolen IDs to File Fraudulent Tax Returns
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July 17, 2017

Two Florida-based tax return preparers have pleaded guilty to conspiring to file and filing fraudulent tax returns with the Internal Revenue Service (IRS), the U.S. Department of Justice (USDOJ) announced.

According to documents filed with the court, Luczor Fertilien and David Joseph owned two tax preparation businesses in Lauderhill, Florida—Imperial Taxation and Multi-Services Corp. and Aleluya Universal Accounting Services Inc.

Fraudulent Refunds

USDOJ says that from approximately 2010 through 2016, Fertilien and Joseph filed fraudulent returns for their clients seeking refunds to which the clients were not entitled by reporting fictitious business income, fraudulent education and fuel tax credits, and claiming deceased individuals as dependents whose identities were stolen.

The defendants also filed returns in the names of living individuals whose identities had been stolen. They did not report the illegal proceeds they received from this scheme on their personal tax returns and each admitted to causing a tax loss of more than $550,000.

Sentencing and Penalties

Sentencing for both Fertilien and Joseph is scheduled for September 22, 2017 before U.S. District Court Judge William P. Dimitrouleas.

Both face a statutory maximum sentence of five years in prison on the conspiracy count and a maximum sentence of three years in prison on the false return count. The defendants also face a period of supervised release, as well as restitution and monetary penalties.

Additional information about the USDOJ Tax Division's enforcement efforts can be found on the Division's website.