Clarksville Woman Sentenced For Filing False Tax Returns

Traci Lynne Howes, 41, of Clarksville, Tennessee, was sentenced on February 9, 2015, by Chief United States District Court Judge Kevin H. Sharpe, to serve 18 months in prison for filing a false tax return, announced David Rivera,  U.S. Attorney for the Middle District of Tennessee.

 Howes pleaded guilty in May 2014 to failing to report income of more than $605,000, which she embezzled from her former employer, Drywall Systems, Inc., in Gallatin, Tenn.   Chief Judge Sharpe also ordered Howes to pay restitution in the amount of $538,932.33 for funds embezzled from her former employer, and $139,525 to the IRS for funds withheld from the IRS employee trust fund taxes and employer payroll taxes.

“The U.S. Attorney’s Office will aggressively pursue and prosecute individuals who intentionally evade their tax responsibility,” said U.S. Attorney David Rivera.

“With tax season underway, let this sentencing serve as a reminder, no matter what the source of income, all income is taxable,” said Christopher A. Henry, Special Agent in Charge of the Nashville Office of the IRS-Criminal Investigation. “The prosecution of individuals who intentionally conceal income and evade taxes is a vital element of the IRS' enforcement strategy.”

The investigation was conducted by IRS-Criminal Investigation.  Assistant U.S. Attorneys Stephanie N. Toussaint and Kathryn Ward Booth prosecuted the case.