Date: December 18, 2019
NEW BERN – Moses Whitaker of Rocky Mount, North Carolina was sentenced to 36 months imprisonment, followed by one year of supervised release and ordered to pay $167,285 in restitution to the Internal Revenue Service.
Whitaker was named in a Criminal Information filed on April 2, 2019, charging him with willfully aiding and assisting in the preparation and filing of a false US individual income tax return. On May 3, 2019, Whitaker pled guilty to that charge.
According to the investigation, Whitaker owned and operated a tax preparation business in Rocky Mount for the tax years 2010 through 2014 under the names M&S Tax Service and MIX Tax Service. Unable to obtain the necessary preparer tax identification and electronic filing identification numbers from the IRS due to his criminal record, Whitaker obtained these numbers using the names and personal information of other individuals. During these years, Whitaker electronically filed
approximately 2,023 returns with the IRS.
Even after the IRS executed a search warrant at the business on April 15, 2015, Whitaker applied for and obtained these required numbers in the name of a relative and continued to prepare and file false income tax returns for his clients. For the 2015 to 2018 tax years, Whitaker electronically filed another 1,361 returns with the IRS.
The returns contained various false information to include false dependents, inflated tax withholdings, education credits, and unreimbursed business expenses. The Government estimated, based only on the inflated tax withholdings, Whitaker’s conduct had resulted in approximately a $2.8 million loss to the IRS. Whitaker also filed false returns in his own name.