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Marshall man pleads guilty to making fraudulent tax returns, must repay $300,000

FILE - A portion of the 1040 U.S. Individual Income Tax Return form is shown July 24, 2018, in New York. Taxpayers will get fatter standard deductions for 2023 and all seven federal income tax bracket levels will be revised upward as the government allows people to shield more of their money from taxation because of persistently high inflation. For couples who file jointly for tax year 2023, the standard deduction increases to $27,700 up $1,800 from tax year 2022, the IRS announced. (AP Photo/Mark Lennihan, File)

MARSHALL, Texas (KETK) – A Marshall man has pleaded guilty to making false and fraudulent statements to procure unwarranted tax refunds, according to Brit Featherston, U.S Attorney for the Eastern District of Texas.

Boyd Lynn Butcher, 50, has agreed to pay over $300,000 dollars in restitution as a part of his guilty plea.

According to prosecutors, between 2015 and 2017, Butcher operated Boyd’s Tax Service and produced tax returns for more than 450 customers without being authorized by the IRS to do so.

On top of being unauthorized, officials said that Butcher created false or fraudulent information to generate unwarranted tax refunds. According to authorities, Butcher caused over $317,252 in tax harm to the IRS.

The following is an example of what Butcher would do, according by the Eastern District:

“In April 2016, Individual 1 paid Butcher $300 to prepare a tax return for the 2015 tax year. Butcher filed the return on behalf of Individual 1, but the return did not reflect the fact that Butcher had prepared and filed it. The return stated that Individual 1 was entitled to claim car and truck expenses from a farming business in the total sum of $80,623.00. But Butcher knew that the statement in the return was false and fraudulent because he knew that Individual 1 did not have a farming business.”

Eastern District of Texas

On June 16, 2022, Butcher was indicted by a federal grand jury. He faces up to three years in federal prison once he is sentenced.