Rocky Mount Return Preparer Sentenced For Preparing False Tax Returns

RALEIGH - United States Attorney Thomas G. Walker announced that yesterday, May 9, 2013, United States District Judge Terrence W. Boyle sentenced DELANE F. ALSTON, of Rocky Mount, North Carolina, for aiding and assisting in the preparation of false federal income tax returns, in violation of Title 26, United States Code, Section 7206(1).  ALSTON was sentenced to 41 months imprisonment, followed by a one-year term of supervised release.  ALSTON was also ordered to pay restitution in the amount of $121,845.

Mr. Walker stated, “Crooked tax return preparers betray the public trust, wreak havoc on tax administration, and stick honest, law-abiding taxpayers with the bill.” 

The investigation revealed that 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.  Between 2009 and 2011, ALSTON prepared and filed over 100 false and fraudulent federal income tax returns for P&A customers, resulting in estimated tax losses to the government in excess of $600,000.  For her services, ALSTON took a cash cut of the unlawful refund amounts generated by the returns she prepared.  The false reporting information on the returns included false dependents, deductions, and credits.  

Charlotte Field Office Special Agent in Charge Jeannine A. Hammett, IRS-Criminal Investigation stated, “IRS- Criminal Investigation is committed to pursuing tax preparers who undermine the federal tax system by assisting in the filing of ‘padded’ and fraudulent refund claims. Preparers like this defendant seek to enrich themselves by essentially stealing from all of us who pay our taxes honestly. This case demonstrates that these criminals should not expect a slap on the wrist; they should expect to be prosecuted and to spend time in federal prison.”

The investigation of this case was conducted by the Internal Revenue Service, Criminal Investigation.  The case was prosecuted by Assistant United States Attorney Adam F. Hulbig.