An Indiana CPA has pleaded guilty to preparing false tax returns for clients who illegally claimed millions of dollars in deductions. The scheme caused a tax loss of $2,532,936, according to the Internal Revenue Service.Between 2013 and 2022, Jason L. Croce prepared returns that claimed the deductions for royalty payments. Court papers say he knew the payments were “circular flows of money designed to give the appearance of genuine business expenses.”
Participated maintained control of money transferred while deducting the transfers as business expenses on their tax returns. The amount of money participants paid in “royalties” was driven by the amount of income they wish to shelter.
