ATLANTA – The Justice Department is seeking to bar a tax return preparer in Wilkinson County from continuing his business.
A civil complaint filed in U.S. District Court for the Middle District of Georgia alleges that Shondre D. Pitts of Irwinton has a long history of preparing fraudulent tax returns for clients. Pitts has run a company named First Choice Tax Services since 2014.
He is accused of claiming false itemized deductions, false income and business expense deductions, as well as fabricating business losses in order to fraudulently reduce a customer’s liability.
The complaint also accuses Pitts of falsely claiming earned income tax credits, residential energy credits, additional child tax credits, and education credits.
As a result of Pitts’ conduct, his customers may face large income tax debts and be liable for penalties and interest, according to the complaint.
With return preparer fraud numbering among the IRS’ so-called “Dirty Dozen Tax Scams,” the agency advises taxpayers to consult the IRS website for tips on how to choose a tax return preparer. A preparer refusing to sign a tax return is a red flag that should give customers pause.
In the past decade, the IRS Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers.