Date: November 8, 2022 Contact: newsroom@ci.irs.gov Newark, NJ — An employee at an Irvington, N.J. based tax preparation business pleaded guilty to preparing false tax returns for clients. Nehemie Leon, a resident of Roselle, N.J., entered her plea in Newark federal court before U. S. District Judge Esther Salas. Leon pleaded guilty to a four count indictment that charges her with aiding and assisting in the preparation of false tax returns. Sentencing is scheduled for April 27, 2023. "While the majority of tax preparers are honest and provide a valuable service to their clients, there are some who are not honest," stated Tammy Tomlins, Acting Special Agent in Charge, IRS-Criminal Investigation, Newark Field Office. "Dishonest tax preparers use a variety of methods to cheat, including falsifying information on tax returns to generate larger refunds for their clients. Criminal Investigation will continue to ensure all tax practitioners, tax preparers and others who practice in the tax law profession adhere to professional standards and follow the law." According to court documents and statements made in court: Leon was employed or self-employed as a tax preparer at a tax preparation business located in Irvington, New Jersey. Leon admitted that she prepared fraudulent tax returns for four different individuals. The returns were false and fraudulent because she included on those returns certain tax credits, itemized deductions, expenses, and exemptions that were fabricated and inflated in order to obtain refunds in amounts greater than the individuals were entitled to receive. For the tax years 2014 through 2017, Leon prepared an additional approximately ninety-seven tax returns for approximately twenty-seven individuals that likewise contained false and fraudulent information. On those ninety-seven additional individual tax returns, Leon included certain tax credits, itemized deductions, expenses, and exemptions that were fabricated and inflated in order to obtain refunds in amounts greater than the individuals were entitled to receive. The total loss to the Internal Revenue Service as a result of the false and fraudulent tax returns Leon prepared for the 2014, 2015, 2016, and 2017 tax years was approximately $479,039. The count of aiding and assisting in the preparation of a false tax return carries a statutory maximum prison sentence of three years and a statutory maximum fine equal to the greatest of: (1) $250,000; (2) twice the gross amount of any pecuniary gain derived from the offense; or (3) twice the gross amount of any pecuniary loss sustained by any victims of the offense. The investigation was conducted by IRS-Criminal Investigation, under the direction of Acting Special Agent in Charge Tammy Tomlins and the U.S. Attorney's Office, under the direction of U.S. Attorney Philip Sellinger. The Government is represented by Assistant U.S. Attorney Samantha C. Fasanello.
