LOS ANGELES – A federal judge has permanently barred Yonny Torres, who does business under the name Yonny’s Income Tax in downtown Los Angeles, from preparing federal tax returns, the Justice Department announced today.
The civil injunction, which was filed last Thursday by United States District Judge Stephen V. Wilson, determined that Torres engaged in “dishonest conduct” when he prepared federal income tax returns that contained false information that increased his clients’ earned income credit (EIC) so that their tax refunds would be fraudulently inflated.
“This overall scheme spanned over multiple years, comprised thousands of instances of noncompliance, and accumulated losses to the government estimated as high as $6.5 million,” Judge Wilson wrote in his order.
Torres was sued by the United States on December 10, 2012. The permanent injunction was issued last week along with a default judgement in the lawsuit.
Two years ago, Torres was assessed a $52,000 penalty for failing to perform due diligence on clients tax returns.
CONTACT: Assistant United States Attorney Valerie Makarewicz
Release No. 13-057