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NationTax Services, which operates stores in four Southern states, has been ordered to close. A federal court in Orlando, Fla., has told owner Jason Stinson to shutter his stores immediately, finding that they had engaged in a pattern of preparing and filing false tax returns.

The chain operates in Alabama, Florida, Georgia and North Carolina. The United States alleges Stinson's return preparers target primarily low-income customers with deceptive and false advertisements.

With a trial scheduled begin October, the Department of Justice sought and obtained the preliminary injunction to force the stores to be shuttered. The DOJ said it sought to keep fraud from continuing in asking for the shutdown.

The U.S. alleges Nation prepared returns that falsely claimed the Earned Income Tax Credit, fabricated business income and expenses and concocted Schedule A deductions for unireimbursed employee expenses.

Last modified on Tuesday, 02 February 2016
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