Joseph Kenny Batts, Tax Fraud, New Jersey 2020

TRENTON, N.J. - A Maryland man, Joseph Kenny Batts, 50, of Elkridge, was convicted of tax fraud in New Jersey, causing over $900,000 in losses to the US government. Batts was found guilty of conspiracy to defraud the IRS and five counts of aiding and assisting in the preparation of false federal income tax returns.

According to the US Attorney's Office, Batts and his co-conspirators used fraudulent means to inflate tax refunds, including fabricating and inflating credits for education and child care, deductions, and Schedule C business losses. They also used fake IRS Forms 1098-T to support false education credits.

Batts worked as a tax preparer in New Jersey, operating Tax Pro's, a tax return preparation and payroll business, along with his co-conspirator Damien Askew. The scheme caused a total tax loss to the United States in excess of $900,000.

Batts' co-conspirators, Tony Russell, Angelo K. Thompson, and Rudolph Sanders, have previously pleaded guilty to their roles in the scheme and await sentencing. Batts is scheduled to be sentenced on Jan. 16, 2020.

The conspiracy charge carries a maximum potential penalty of five years in prison, while the maximum sentence for aiding or assisting in the filing of false returns is three years in prison. Both are also punishable by a statutory maximum fine equal to the greatest of $250,000 or twice the gross amount of any pecuniary gain that any persons derived from the offense or twice the gross amount of any pecuniary loss sustained by any victims.

U.S. Attorney Craig Carpenito credited special agents of IRS-Criminal Investigation with the investigation leading to today's conviction. The government is represented by Assistant U.S. Attorneys Cari Fais and Jihee G. Suh.

Joseph Kenny Batts, 50, of Elkridge, Maryland, was convicted of conspiracy to defraud the United States and five counts of aiding and assisting in the preparation of false federal income tax returns. The charges carry a maximum penalty of five years in prison and a fine of up to $250,000.

The case is part of the IRS's ongoing effort to combat tax fraud and protect the integrity of the tax system. Batts' conviction serves as a reminder that tax fraud will be vigorously investigated and prosecuted.

Source: https://www.justice.gov/usao-nj/pr/tax-preparer-convicted-conspiracy-defraud-irs-and-preparing-false-tax-returns