ATLANTA - Lucious D. Mack, who falsely claimed and received refunds for fraudulently filed corporate income tax returns, has pleaded guilty to presenting false claims to the Internal Revenue Service and to stealing government funds.
“Mack went to great lengths to deceive the IRS,” said U.S. Attorney Kurt R. Erskine. “However, their diligence in this case uncovered his deceit, and he now faces the possibility of time in prison.”
“We continue to see individuals attempt to cheat the tax system,” said James E. Dorsey, Special Agent in Charge of IRS Criminal Investigation Atlanta Field Office. “This plea should be a guiding light to honest taxpayers and would be tax cheats that the IRS and U.S. Attorney’s office will work diligently to protect the integrity of the U.S. Tax administration system, and to make sure everyone complies with their tax obligations.”
According to U.S. Attorney Erskine, the charges and other information presented in court: Lucious Mack filed fraudulent corporate income tax returns that falsely claimed refunds. Specifically, Mack filed a 2015 Form 1120 U.S. Corporate Income Tax Return for his company Carter Industries, Inc. The tax return falsely claimed that the company pre-paid taxes and paid additional long-term capital gains taxes totaling $235,515.
The long-term capital gains tax payment was supposedly from the sale of property located in Dekalb County, Georgia. Property records, however, established that Mack’s company never owned the property that was listed in the tax returns supporting documents.
IRS additionally confirmed that the agency never received tax payments of any kind from or on behalf of Carter Industries, Inc. for 2015 tax year. As a result of the false representations, the tax return fraudulently claimed a refund in the amount of $109,521.
Mack also filed a 2015 Form 1120 U.S. Corporate Income Tax Return for another company, Carter International Holdings, Inc. The tax return likewise falsely claimed the payment of long-term capital gains taxes supposedly from the sale of property, which was located in Bibb County, Georgia.
Bibb County property records similarly confirmed that Mack’s company never owned the property listed in the tax returns supporting documents. IRS further confirmed that the agency never received tax payments of any kind from or on behalf of Carter International Holdings for tax year 2015.
As a result of the false representation, the tax return for Carter International Holdings, Inc. fraudulently claimed a refund of $105,877. IRS issued a treasury check for the amount, which Mack deposited into a local bank account and spent the money for his personal benefit.
Sentencing for Lucious Mack, 49, of Atlanta, Georgia, is scheduled for May 10, 2022, at 11:00 a.m. before U.S. District Judge William M. Ray II.
This case is being investigated by the Internal Revenue Service Criminal Investigation.
Assistant U.S. Attorneys Tracia King and Amy Palumbo are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.