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Press Release

Tax Return Preparer Pleads Guilty

For Immediate Release
U.S. Attorney's Office, Northern District of Texas
Defendant Managed Tax Breaks Tax Return Preparation Business in Fort Worth

FORT WORTH, Texas — Michael McCrary, a tax return preparer who managed a tax preparation business in Fort Worth, Texas, appeared this morning in federal court in Fort Worth, before U.S. Magistrate Judge Hal R. Ray, Jr., and pleaded guilty to an Information charging one count of aiding and assisting in the preparation and presentation of a false tax return, announced U.S. Attorney John Parker of the Northern District of Texas.

McCrary, who remains on bond, faces a maximum statutory penalty of three years in federal prison, a $250,000 fine and restitution.  Sentencing is set for December 15, 2016, before Senior U.S. District Judge Terry R. Means. 

According to the factual resume filed in the case, McCrary managed Tax Breaks, a tax return preparation business that was located on Meadowbrook Drive in Fort Worth.  In March 2011, McCrary knowingly aided and assisted in the preparation and presentation of a taxpayer’s individual 2010 federal income tax return that was false and fraudulent.  That tax return, according to the factual resume, represented the taxpayer was entitled to claim a $26,993 deduction, based mostly on claiming unreimbursed employee expenses related to 39,875 in business mileage, when as McCrary knew, the taxpayer worked for Walmart and did not use his vehicle for business purposes, and was not entitled to claim that deduction.  The statement was material in that it resulted in lowering the taxpayer’s taxable income thereby decreasing the taxpayer’s tax liability.

The investigation was conducted by Internal Revenue Service Criminal Investigation.  Assistant U.S. Attorney Douglas A. Allen is in charge of the prosecution.

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Updated August 17, 2016

Topic
Tax