A federal court in Kansas City, Kan., has permanently barred Ahferom Goitom from preparing federal tax returns.

The case is one of five similar lawsuits -- in Indianapolis, Las Vegas, Chicago and Dayton, Ohio -- to shutter four of the largest Instant Tax Service franchise owners, as well as the Dayton-based corporate franchisor of the Instant Tax Service brand, ITS Financial LLC.

The government complaint in the Kansas case alleges that Goitom managed an Instant Tax Service store in Kansas City, Kan., where he prepared false and fraudulent income tax returns for others.

He was accused of forging W-2s; filing returns improperly based on paycheck stubs, rather than W-2s; fabricating income for phony businesses to obtain larger tax credits; claiming false education tax credits; and filing returns without customer authorization. The complaint also alleges that Goitom sold false and deceptive loan products to Instant Tax Service customers.

According to the complaint, the Instant Tax Service store Goitom managed in Kansas City is owned by his brother and co-defendant Semere Tsehaye, against whom a suit is still pending.  

Goitom consented to the civil injunction order without admitting to the allegations.

Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access