Call Now (800) 681-1295

NY Tax Preparer Facing 9 Years in Prison After Admitting to Filing False Returns

Table of Contents

    Appearing in Brooklyn federal court before U.S. Magistrate Judge Robert M. Levy on June 25, 2019, defendant Emerson Gamory, former operator of tax preparation service Emerson Gamory Income Tax Services Inc., pleaded guilty to three counts of felony tax crimes. Charges to which Gamory pleaded guilty included one count of filing a false tax return, which violates 26 U.S. Code § 7206(1), plus two counts of filing false income tax returns on behalf of clients, an offense commonly known as “tax preparer fraud” or “aiding and assisting a false return,” constituting a violation of 26 U.S. Code § 7206(2).

    Brooklyn Tax Preparer Pleads Guilty to Tax Fraud, Faces 9-Year Sentence

    By both filing on his own behalf and assisting others with the preparation of false tax returns, Gamory caused the U.S. government to sustain tax losses exceeding half a million dollars over a period of several years. Pleading guilty in federal court, Gamory admitted to preparing false returns for clients during the tax period from 2012 to 2016, during which time he knowingly submitted “returns… that included inflated or fictitious itemized deductions, such as gifts to charity and unreimbursed employee expenses, as well as tax credits for fabricated education expenses…”

    As our tax defense lawyers have noted in the past, education credits are improperly claimed on such a frequent basis that they now receive special scrutiny from the IRS, which cautions taxpayers they may be charged fraud and accuracy-related penalties, plus be required to pay back – with interest – any credits “received in error.” In some cases, taxpayers can even be banned from attempting to claim certain education tax credits, with ban periods ranging anywhere from two to 10 years depending on the severity of the violation.

    By submitting false information to the IRS, Gamory illegally lowered his clients’ tax liabilities. In addition, the inaccurate information caused the IRS to issue larger refunds than would have resulted from the filing of truthful returns. For legal ways to lower your tax liabilities, you should consult a trusted tax attorney about tax planning services for your business or personal finances. It is never in your best legal or financial interests to “cut corners” by working with potentially disreputable service providers.

    In addition to filing false returns on behalf of other taxpayers – a serious criminal offense described at 26 U.S. Code § 7206(2) – “Gamory also prepared false tax returns for Gamory Tax that did not report all gross receipts,” along with personal “tax returns… that underreported net profits,” according to a Department of Justice press release.

    With each charge subject to a maximum statutory sentence of three years, Gamory faces a sentence of up to nine years in federal prison. For those unfamiliar with the term, a “statutory” sentence is the sentence established by statute, or law, which in this case is “not more than 3 years,” in accordance with 26 U.S. Code § 7206. The Department of Justice noted that, in addition to sentencing, Gamory also risks fines and forfeiture, which is the seizure of assets that have been linked to criminal activity (such as assets connected with tax evasion).

    California Tax Evasion Defense Attorneys for CPAs, EAs, Tax Attorneys, and Tax preparers Charged with Return Preparer Fraud

    Gamory’s case should warn tax professionals not to abuse their knowledge of the system. Otherwise, there can be harsh penalties – not only in terms of fines and incarceration, but furthermore, losing one’s license or practice. If you are a tax preparer, EA, or CPA facing tax fraud charges in San Francisco, Los Angeles, Oakland, or other parts of California, you should consult with the IRS tax attorneys at the Tax Law Office of David W. Klasing right away.

    Our award-winning California tax attorneys have extensive experience providing assistance with criminal tax exposure for CPAs and other tax professionals. We can educate you on the steps a CPA should take to protect himself or herself in criminal tax matters – or if necessary, provide aggressive representation at trial. Contact us online immediately to arrange a reduced-rate consultation, or call the Tax Law Offices of David W. Klasing at (800) 681-1295 to speak with a tax evasion attorney today.

    Here is a link to our YouTube channel: click here!

    Also, we’ve expanded our offices! In addition to our offices in Irvine and Los Angeles, the Tax Law Offices of David W. Klasing now have offices San BernardinoSanta BarbaraPanorama CityOxnardSan DiegoBakersfieldSan Jose, San FranciscoOakland and Sacramento.

    Note: If you have concerns about the privacy of our initial or subsequent communication and are unable to easily travel to our Irvine / Orange County Main Office, consider scheduling a GoToMeeting to safely and securely establish an initial or maintain an existing attorney client relationship.  With end-to-end encryption, strong passwords and top-rated reliability, no one is messing with your meeting. To schedule a reduced rate initial consultation via GoToMeeting follow this link.   Call our office and request a GoToMeeting if you are an existing client. We are generally happy to travel to any of our appointment only satellite offices for a subsequent meeting in appropriate circumstances once a relationship is established via a signed engagement letter and the payment of an initial retainer or where enough retainer is available where a current client to cover the reasonable travel time and time required for the meeting.

    Will it cost me more to hire the Tax Law Offices of David W. Klasing, who’s main office and the vast majority of the firm’s staff is located in Irvine California, but an appointment only Satellite office is close to my location, as opposed to a local company?  Absolutely not!  See our policies that address this issue here:

    Tax Help Videos

    Representing Clients from U.S. and International Locations Regarding Federal and California Tax Issues

    Main Office

    Orange County
    2601 Main St. Penthouse Suite
    Irvine, CA 92614
    (949) 681-3502

    Our headquarters is located in Irvine, CA. Our beautiful 19,700 office space is staffed full-time and always available for our clients to meet with our highly qualified and experienced staff of Attorneys, Certified Public Accountants and Enrolled Agents. We also offer virtual consultations and can travel to meet with clients in one of our satellite offices.

    Outside of our 4 hour initial consultation option, we do not charge travel time or travel expenses when traveling to one of our Satellite offices, or surrounding business districts, where it is necessary to meet personally with taxing authority personnel, make court appearances, or any in person meeting deemed necessary for the effective representation of a client. To make this as flexible, efficient, and convenient as possible, David W. Klasing is an Instrument Rated Private Pilot and Utilizes the Firms Cirrus SR22 to service client’s in California and in the Southwest by air. Offices outside these areas are serviced via commercial jet airlines. None of these costs are charged to our clients.

    Satellite Offices

    (310) 492-5583
    (760) 338-7035
    (916) 290-6625
    (415) 287-6568
    (909) 991-7557
    (619) 780-2538
    (661) 432-1480
    (818) 935-6098
    (805) 200-4053
    (510) 764-1020
    (408) 643-0573
    (760) 338-7035
    (602) 975-0296
    New Mexico
    (505) 206-5308
    New York
    (332) 224-8515
    (512) 828-6646
    Washington, DC
    (202) 918-9329
    (702) 997-6465
    (786) 999-8406
    (385) 501-5934