Vallejo tax preparer and business owner pleads guilty to assisting in filing false tax returns


Date: September 21, 2022


Sacramento, CA — Emilio Lara, of American Canyon, pleaded guilty Tuesday to willfully aiding and assisting in the preparation and presentation of false and fraudulent income tax returns, U.S. Attorney Phillip A. Talbert announced.

According to court documents, Lara was the owner of Lara's Income Tax Services, an income tax preparation business in Vallejo. From 2009 to 2012, Lara prepared individual income tax returns for clients on which he falsely inflated certain Schedule A deductions. Lara listed inflated amounts for medical and dental expenses, charitable contributions by cash or check, charitable contributions other than by cash or check, and unreimbursed employee expenses, resulting in a loss to the IRS.

According to the plea agreement, Lara agreed to pay back $7,868 in restitution for tax loss to the IRS. Lara further agreed to a tax preparation injunction, which means he will be permanently prohibited from preparing or filing federal tax returns for anyone other than himself.

This case is the product of an investigation by the Internal Revenue Service – Criminal Investigation. Assistant U.S. Attorneys Michael Anderson and Emily Sauvageau are prosecuting the case.

Lara is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Jan. 10, 2023. Lara faces a maximum statutory penalty of three years in prison and a $100,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.