Edris Cust, the operater of Cust Tax Service in Brooklyn, pleaded guilty to constructing false tax returns for clients over several filing seasons, leading to over $1.4 million in losses to the IRS. Her scheme involved manipulating conventional tax-return entries, such as filing status and capital losses, to reduce tax bills or falsely claim refunds, which serves as a warning to tax professionals on the potential criminality of knowingly altering routine tax-return entries.
A tax return can go sideways in a lot of ways. In this case, the problem was not a missed form or an aggressive interpretation buried in the gray area. Prosecutors say Edris Cust repeatedly inserted false items into client returns over several filing seas...
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