Massachusetts Owner of a Garbage Collection Business Pleads Guilty to Filing a False Tax Return and Cash Structuring
An Arvada, Colorado, woman pleaded guilty today to one count of willfully making and subscribing to a fraudulent corporate income tax return announced Principal Deputy Assistant Attorney Richard E. Zuckerman of the Justice Department’s Tax Division.
According to court documents, Marlene Seo owned and operated a corporation called National Martial Arts Academy Inc., a martial arts instruction business. From 2011 through 2013, income from Seo’s martial arts school was deposited into bank accounts that she did not disclose to the corporation’s bookkeeper and accountants, which resulted in her underreporting the business’s gross receipts on corporate tax returns for tax years 2011, 2012, and 2013 by approximately $650,000. Seo plead guilty to signing and filing a false 2012 U.S. Corporation Income Tax Return, Form 1120, filed on behalf of National Martial Arts Academy.
Sentencing is scheduled for February 1, 2019. Seo faces a maximum sentence of three years in prison. She also faces a term of supervised release, restitution, and monetary penalties.
Principal Deputy Assistant Attorney General Zuckerman commended special agents of IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys Anahi Cortada and Lisa L. Bellamy, who are prosecuting the case.