South Carolina tax preparer pleads guilty to preparing false returns

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A South Carolina man recently pleaded guilty to two counts of filing false tax returns.

Jeffrey Harmon of Lexington entered a guilty plea after his jury trial had begun, according to a news release.

According to court documents and evidence presented at trial, Harmon owned and operated TFL Worldwide, a tax preparation business.

Harmon willfully prepared and filed returns for clients that claimed fraudulent deductions including those for rent, utilities, meals, gifts, dues, and depreciation, according to the U.S. Attorney’s Office for the District of South Carolina.

In his plea, Harmon admitted to filing a false 2012 tax return for himself and to aiding and assisting in the preparation of a 2016 tax return claiming false deductions for rent and depreciation for one of his clients.  Harmon agreed that the total tax loss from his criminal conduct was approximately $320,000.

He faces a maximum penalty of three years in prison for each false return count.  He also faces a period of court-ordered supervision, monetary penalties, and restitution.

United States District Judge Mary Geiger Lewis accepted Harmon’s guilty plea and will issue his sentence after considering a sentencing report prepared by the U.S. Probation Office.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, U.S. Attorney Adair F. Boroughs for the District of South Carolina, and Special Agent in Charge Donald Trey Eakins of IRS-Criminal Investigation, Charlotte Field Office, made the announcement.

IRS-Criminal Investigation investigated the case.

Assistant U.S. Attorneys Winston Holliday and Elle Klein for the District of South Carolina and trial attorney Wilson Stamm of the Justice Department’s Tax Division prosecuted the case.