Alabama Return Preparers Found Guilty of Tax Crimes
Business Owner and Employee Filed False Tax Returns to Obtain Fraudulent Tax Refunds
WASHINGTON - James E. Moss and Avada L. Jenkins were found guilty today of tax crimes relating to “Flash Tax,” a Montgomery, Ala., tax preparation business owned by Moss, the Justice Department and Internal Revenue Service (IRS) announced. U.S. District Court Judge for the Middle District of Alabama Mark E. Fuller presided over the jury trial of Moss and Jenkins for conspiring to defraud the United States and for aiding and assisting the preparation of false tax returns.
The evidence at trial proved that both Moss and Jenkins, an employee of Flash Tax, prepared false tax returns for customers that fraudulently inflated the amount of refunds due to the customers. Evidence presented at trial showed that the tax loss affiliated with this scheme was more than $75,000.
A sentencing date has not been set, yet. Moss faces a maximum potential sentence of 80 years in prison and a maximum fine of $6.5 million; Jenkins faces a maximum potential sentence of 65 years in prison and a maximum fine of $5.25 million.
The case was investigated by the Internal Revenue Service-Criminal Investigation and was prosecuted by Tax Division Trial Attorneys Charles M. Edgar Jr., Thomas J. Krepp and Michelle M. Petersen.
Additional information about the Justice Department’s Tax Division and its enforcement efforts may be found at www.usdoj.gov/tax .