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Roseville tax firm accused of bilking U.S. out of millions
[February 20, 2009]

Roseville tax firm accused of bilking U.S. out of millions


(Sacramento Bee, The (CA) Via Acquire Media NewsEdge) Feb. 20--A Roseville tax firm bilked the government out of millions in false or inflated tax deductions, according to a Sacramento federal court complaint.

"Defendants have continually and repeatedly promoted sham partnerships as a vehicle for tax evasion, resulting in lost tax revenues the IRS conservatively estimates to be in the millions," the 22-page complaint against Associated Tax Planners said.



Named as defendants are the firm's president and owner, Chris J. Elmer of Roseville; his sons Bradley Elmer of Lincoln and Ryan Elmer of Folsom; his nephew Jeffrey Delany of Rocklin; and his son-in-law Michael Boehrer of Roseville.

The company Web site describes Associated Tax Planners as a business with "over 30 years of tax experience." The Bee on Thursday left a message at the company's Pleasant Grove office, where all the defendants work, but none returned the call.


The suit, which seeks to permanently close the business, was filed Feb. 13. As of late Thursday, no court date had been assigned.

The complaint alleges that in 2005 in Ogden, Utah, the IRS discovered an unusually large number of individual tax returns prepared by ATP that claimed large partnership losses, each in excess of $10,000.

The partnerships were two-person arrangements, usually a husband and wife filing jointly, the complaint said.

The partnerships reported little or no income, yet claimed deductions for repairs, rents, interest, travel and other personal costs as business expenses.

The complaint said Chris Elmer advised clients that the partnerships were an ideal way to "tuck" personal costs into a business expense.

One customer, identified as a police officer, specifically told Ryan Elmer not to claim dry cleaning of his uniform as a deduction since he was reimbursed by his employer, the government claims.

The officer, who had not been allowed to view the filing, learned of the deduction after the IRS audited him last year.

A Sacramento County deputy sheriff and his wife, who were advised by Brad Elmer, owed $13,898 in taxes after an audit found uniform cleaning and a weapon purchase were improperly claimed as business deductions, the complaint said.

------ Call The Bee's Ramon Coronado, (916) 773-6866.

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