LAFAYETTE, La.- A 69-year-old Westwego man pleaded guilty in federal court to four counts of tax fraud.

Henry J. Timothy is the owner and sole tax preparer for B&B Accounting Services in Westwego. According to the U.S. Attorney’s Office, he operates his business out of his home and has been a tax preparer since 2012.

According to information presented to the court at the guilty plea hearing, Timothy “admitted to preparing and electronically submitting false and fraudulent U.S. Individual Tax Returns on behalf of himself and his wife for from 2013 to 2016.”

Timothy purposefully omitted approximately $83,304 in gross receipts for 2013; $80,932 in gross receipts for 2014; $73,391.79 in gross receipts for 2015; and $82,592 in gross receipts for 2016 from Schedule C of his 1040 U.S. Individual Tax Returns where the gross receipts are listed, according to his plea.

The omission of this income resulted in an additional tax liability of $88,593.

“As a tax preparer, Timothy was well aware that he had to list all of his gross-receipts but failed to do so in order to reduce his tax liability,” the U.S. Attorney’s Office said.
Timothy faces a maximum penalty of up to 3 years in prison, a $100,000 fine, or both, at sentencing. The sentencing hearing has been set for April 15, 2021.