Essex County, N.J., Man Admits Preparing False Income Tax Returns

NEWARK, N.J. – The owner of a tax preparation business admitted today his role in the preparation of income tax returns with false information, Assistant Attorney General for the Tax Division Kathryn Keneally and U.S. Attorney Paul Fishman announced.

Carlyle Fraser of Maplewood, N.J., owner of Fraser CPA and Taxko Inc., a tax preparation business, pleaded guilty before U.S. District Judge Joel A. Pisano in Trenton federal court to an information charging him with one count of aiding and assisting in the preparation of false individual income tax returns.

According to documents filed in this case and statements made in court:

From 2008 through 2011, Fraser prepared and filed false individual income tax returns for his clients. On April 8, 2011, Fraser prepared a false 2010 individual income tax return for an undercover agent, which claimed false deductions for medical and dental expenses, charitable contributions, unreimbursed employee expenses, tuition, a business loss, and a capital gains loss. In preparing false individual income tax returns for his clients, Fraser caused a tax loss to the IRS of $149,739.
 
Assistant Attorney General Keneally and U.S. Attorney Fishman credited special agents of IRS – Criminal Investigation, under the direction of Special Agent in Charge Shantelle P. Kitchen, for the investigation leading to today’s guilty plea.

The count to which Fraser pleaded guilty is punishable by a maximum potential penalty of three years in prison and a fine of $250,000. Sentencing is scheduled for June 25, 2014.
 
The government is represented by Tax Division Trial Attorneys Jessica Moran and Tino Lisella.
 
Additional information about the Tax Division and its enforcement efforts may be found at www.justice.gov/tax.

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Defense counsel: Thomas A. Ashley Esq., Newark

Fraser, Carlyle Information