North Carolina Tax Return Preparer Pleads Guilty to Preparing False Tax Returns

Delane F. Alston, a resident of Rocky Mount, N.C., pleaded guilty today before Judge Terrence W. Boyle to two counts of aiding and assisting in the preparation of false federal income tax returns, the Justice Department and the Internal Revenue Service (IRS) announced today. Alston’s sentencing hearing is scheduled for May 6, 2013.

According to the charging documents, Alston worked as a return preparer at P&A Tax Services, a tax return preparation business, between 2007 through 2011. Alston initially prepared returns at a P&A Tax Services office located in Rocky Mount, but she later transferred to the Spring Hope, N.C., office. Alston was the manager of the Spring Hope office in 2008, 2009 and 2011. At the hearing, Alston pleaded guilty to preparing false 2008-2010 tax returns for P&A Tax Services clients that contained false and fraudulent claims for tax refunds. Alston generated the refunds by reporting false information on client tax returns, including false dependent information and false deductions.

Alston is subject to a maximum potential sentence of three years in prison and a fine of up to $250,000 for each count of conviction.

This case was investigated by IRS-Criminal Investigation. Trial Attorney Adam Hulbig of the Justice Department’s Tax Division is prosecuting the case.