HOUSTON – A Houston woman has been convicted of tax evasion after she pleaded guilty to preparing false income tax returns for a local husband and wife. Shirley M. Carrington, 48, admitted to willfully aiding and assisting in the preparation and presentation of false U.S. Individual Income Tax Returns, according to the U.S. Attorney’s office.
According to the written plea agreement, Carrington prepared a false income tax return for a couple that included a claim for losses from an alleged janitorial service sole proprietorship that the taxpayers did not have. The return also claimed a false deduction for unreimbursed employee expenses and a false deduction for other miscellaneous deductions. The tax loss from the false tax return was $10,962.
Carrington further admitted that the eight tax returns underlying the eight counts in the indictment all claimed false losses from alleged janitorial sole proprietorships that none of the taxpayers had. Her relevant conduct, which is the total tax loss in the case, for purposes of sentencing was $199,472.00.
U.S. District Judge Vanessa Gilmore accepted the plea today and has set sentencing for April 1, 2013. At that time, Carrington faces up to three years in prison and a $250,000 fine.
The case was investigated by Internal Revenue Service – Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Charles J. Escher.
Carrington’s actions resulted in significant financial losses for the government, with the total tax loss in the case amounting to $199,472.00. The case serves as a reminder of the importance of accurate and honest reporting of income and expenses on tax returns.
The sentencing hearing is scheduled for April 1, 2013, and will be a critical moment in the case. The outcome will depend on a variety of factors, including the severity of the offense and the defendant’s prior record.
Key Facts
- State: Texas
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release ↗
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