Jeffrey Charles, Tax Fraud, Virginia 2012

A Grimstead nurse has been sentenced to federal prison for conspiring to defraud the United States and filing false tax returns.

Jeffrey Charles, a registered nurse and administrator of a rehabilitation center, was sentenced to 46 months in federal prison for his role in the tax fraud scheme.

According to the evidence presented at trial, Charles conspired with his daughter and son-in-law to impair and impede the Internal Revenue Service (IRS) in ascertaining, computing, assessing and collecting federal income taxes.

Charles was convicted of one count of conspiracy, three counts of aiding and assisting in the preparation of false tax returns, and one count of filing a false tax return on November 6, 2012, following a six-day jury trial in Newport News, Virginia.

The evidence also proved that Charles aided and assisted in the preparation of three false tax returns in his daughter’s name for tax years 2000, 2001, and 2005, and attached false documents to each tax return.

Charles also filed a false tax return in his own name for tax year 2006, in which he falsely reported earning $0.00 income. He joined American Rights Litigators (ARL), a Florida-based organization, and paid ARL to send fraudulent documents to the IRS on his behalf and on behalf of his daughter.

Senior Judge Henry Coke Morgan Jr. also ordered Charles to pay over $300,000 in restitution to the IRS as part of his sentence.

In a separate but related case, Charles’s co-conspirators, his daughter Kathryn Miles and son-in-law John Miles, each pleaded guilty to conspiracy and were sentenced to federal prison.

Assistant Attorney General Kathryn Keneally for the Justice Department’s Tax Division commended the investigative efforts of special agents of IRS Criminal Investigation, and Tax Division Trial Attorney Justin K. Gelfand and Assistant U.S. Attorney Brian Samuels, who prosecuted the case.

Mandatory Facts: Defendant: Jeffrey Charles; Charges: Conspiracy, aiding and assisting in the preparation of false tax returns, filing a false tax return; City and State: Grimstead, Virginia; Date: November 6, 2012; Sentence: 46 months in federal prison and over $300,000 in restitution to the IRS.

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