New York tax preparer charged with causing more than $100 million in losses from fraudulent returns
A New York tax preparer was arrested Monday on charges related to causing "substantially" more than $100 million in tax losses through the filing of false returns — one of the largest tax frauds ever by a preparer, federal prosecutors said. The preparer, Rafael Alvarez, orchestrated a "wide-ranging scheme" at his Bronx firm ATAX New York "to file tens of thousands of federal individual income tax returns" that included false information to reduce the tax liability of their filers, according to prosecutors. The false information allegedly included bogus itemized deductions, fake capital losses, and phony business expenses and tax credits. "Many of the numbers that Alvarez entered were completely fictitious, and were not supported by any evidence or documentation," an indictment against him alleges. The 60-year-old Alvarez became known to customers as "The Magician" for his "ability to make customers' tax burden disappear," said Manhattan U.S. Attorney Damian Williams on Mo
