Statewide Crackdown On Bad Tax Preparers Leads To Arrest In Rockland

ROCKLAND COUNTY, NY — A recent statewide crackdown on bad tax preparers by the New York State Department of Taxation and Finance resulted in the arrest of a Suffern resident.

Joseph Clay, 49, is accused of filing returns with bogus Individual Retirement Account (IRA) deductions at Prime Tax & Professional Services, LLC in Yonkers.

During an undercover operation in April of 2022, Clay allegedly prepared tax returns for tax years 2019 and 2021 with fictitious deductions. He was arrested in January and charged with two counts of offering a false instrument for filing and two counts of criminal tax fraud.

He was one of three preparers charged with filing fraudulent returns. A fourth preparer was sentenced to jail time for preparing returns on behalf of others without registering with the Tax Department. Another preparer pleaded guilty to failing to file his own tax returns and pay the proper amount owed to New York State.

"Our investigators and fraud-prevention teams aggressively pursue unethical tax preparers who take advantage of their clients or otherwise flout the law for personal gain," said Acting Commissioner of the New York State Department of Taxation and Finance Amanda Hiller. "We will continue to work with all levels of law enforcement to bring these preparers to justice."

Department officials urge residents to verify your tax return preparer’s credentials. See Verify your tax return preparer or facilitator.

Certain tax return preparers must register annually with the Tax Department and post copies of their current Registration Certificate.

If you feel your tax preparer is not meeting their obligations, you can file a complaint online with the Tax Department’s Office of Professional Responsibility.

Also see the department’s Consumer Bill of Rights Regarding Tax Preparers webpage.