Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Jonathan D. Larsen, the Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division (“IRS-CI”), announced today that EVERSLEY E. BARRETT, the owner of a tax preparation business named Eversley Tax, in New Windsor, New York, was charged with assisting the preparation of false and fraudulent tax returns and tax evasion. BARRETT surrendered to authorities this morning and was presented before U.S. Magistrate Judge Paul E. Davison in White Plains federal court.
According to the allegations contained in the Indictment unsealed today[1]:
From in or about 2012 through 2016, BARRETT’s tax preparation business prepared and submitted to the IRS, on average, over 700 tax returns each year. Some of these tax returns were false and fraudulent in that they contained various fabricated and fraudulently inflated items such as filing statuses, rental real estate losses, unreimbursed employee business expenses, gifts to charity, real estate-related expenses and application of certain tax credits. BARRETT’s inclusion of these false and fraudulent deductions led the returns to fraudulently claim refunds.
As alleged in the indictment, BARRETT also prepared and filed his own tax returns. From in or about 2012 through 2016, BARRETT’s tax returns also contained many of the same fabricated and fraudulently inflated items, such as filing statuses, rental real estate losses, unreimbursed employee expenses, gifts to charity and real estate-related expenses. In addition, BARRETT, who received many of his fees for his tax preparation services in cash, failed to report more than $300,000 in gross receipts for Eversley Tax for the tax years 2012 through 2015.
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BARRETT, 64, is charged in 84 counts. The first 83 counts charge him with aiding and assisting the preparation of false and fraudulent U.S. tax returns, each of which carries a maximum sentence of three years in prison and a maximum fine of $250,000. He is also charged with one count of attempting to evade or defeat tax, which carries a maximum sentence of five years in prison and a maximum fine of $250,000. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Berman praised IRS-CI for their outstanding work in the investigation.
The case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorney Margery B. Feinzig is in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
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