Man Pleads Guilty to Preparing False Income Tax Return
HOUSTON – A local income tax return preparer has pleaded guilty to preparing a false U.S. Individual Income Tax Return for a client, announced Acting U.S. Attorney Abe Martinez.
Chester Swanson admitted in the plea agreement filed in the record of the case that he prepared at least 37 false income tax returns for clients with a resulting intended income tax harm to the United States of more than $244,000. He further admitted the false items he placed on the income tax return underlying his guilty plea included false amounts of unreimbursed medical and dental expenses, false amounts of gifts to charity, false amounts of unreimbursed employee expenses, and false amounts of alleged losses from a sole proprietorship.
Swanson operated his income tax preparation business under the name of Chester’s Mobile Tax Service in which he met clients at various locations in Houston to prepare their income tax returns for them. Swanson admitted he also used the name Hollywood Business SVC Investments in his tax preparation business.
Swanson has agreed to pay more than $244,000 in restitution to the IRS and to never again prepare income tax returns for others.
U.S. District Judge Keith Ellison accepted the plea and set sentencing for Oct. 3, 2017. At that time. Swanson faces up to three years in federal prison and a possible $250,000 maximum fine. He was permitted to remain on bond pending that hearing.
IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorney Charles J. Escher is prosecuting the case.