California Man Filed False Tax Returns

He defrauded the IRS of approximately $63,000.

A California man pleaded guilty to aiding and assisting in the preparation of false tax returns.

According to court records, Chris Donell Smith, 56, of Stockton, California, owned and operated New Covenant Tax & Accounting, a tax preparation business in Modesto.

Between 2012 and 2015, Smith prepared income tax returns that reported false information for a number of his clients without their knowledge or consent. He falsified charitable contributions, unreimbursed employee expenses, and capital losses and wage income on some of his clients’ tax returns.

For some of these clients, he prepared a correct tax return which he gave the client, but then electronically filed a fraudulent return claiming a higher refund. He directed that the payment of the refund be split, with the amount the client expected going into the client’s own bank account and the additional higher amount going into an account controlled by Smith. Smith defrauded the IRS of approximately $63,000.

He faces up to three years in prison and a $100,000 fine.[/vc_column_text][us_image image=”1418″][/vc_column][/vc_row]