Charges Filed Against Tax Return Preparer
Memphis, TN - Debra Davis, 41, of Memphis, Tennessee, has been charged with 26 counts of aiding and assisting in the preparation of false income tax returns announced Lawrence J. Laurenzi, Untied States Attorney for the Western District of Tennessee. Davis, who was arrested this morning and had her initial appearance before U.S. Magistrate Diane K. Vescovo, was released pending a trail to be scheduled for later this year.
According to the indictment, Davis prepared federal income tax returns for other individuals that were filed with the Internal Revenue Service (IRS) for tax years 2004 through 2007. The indictment states that many of the false returns contained fictitious deductions for medical/dental expenses, cash and noncash charitable contributions, real estate taxes, child care expenses, mortgage interest, uniform expenses, job seeking expenses, gambling losses, personal property taxes, and unreimbursed employee expenses. Other returns reflected that one individual had a Schedule C business when no business existed. Some returns claimed dependants whom the individuals were not entitled to claim.
Davis faces a maximum penalty of 5 years and a fine of $250,000 on each count if convicted.
This investigation was conducted by IRS Criminal Investigation. Assistant U.S. Attorney John Fabian will represent the government.
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Note: An indictment is a form of accusation and is not evidence of guilt. The defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.