February 21st, 2008
Former Return Preparer Indicted on Tax Charges
Memphis, TN – Linda Hendrieth, 42, formerly of Memphis, Tennessee, has been indicted by a federal grand jury in Memphis announced David Kustoff, United States Attorney for the Western District of Tennessee. The indictment was returned on November 20, 2007, and Hendrieth was arrested in Dallas, Texas in December. Hendrieth had her initial appearance before U.S. Magistrate Judge James H. Allen today.
Hendrieth, who operated Taxing Solutions located in Memphis, was charged with 27 counts of aiding and assisting in the preparation of false tax returns. According to the indictment, from about February 6, 2002 until approximately February 18, 2003, Hendrieth prepared income tax returns for others that claimed inflated amounts for Schedule A, Itemized Deductions.
According to the indictment, a substantial number of Hendrieth’s clients were obtained by responding to word of mouth advertising stating that Hendrieth knew about deductions of which other tax preparers were not aware. As a result, the indictment states, Hendrieth’s tax preparation business experienced substantial growth between tax years 2000 to 2002, jumping from 110 returns to 398 returns prepared.
In January 2005, Judge Samuel H. Mays entered an injunction against Hendrieth barring her from preparing income tax returns or claims for refunds. Hendrieth was also required to notify her customers of the judgment and provide to the government the names, addresses, and taxpayer identification of all her customers.
This investigation was conducted by IRS Criminal Investigation. Assistant U.S. Attorney Stuart J. Canale 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.