TARZANA : Pair Plead Guilty to Filing False Returns

A Tarzana tax preparer and his Canyon Country assistant pleaded guilty to charges of filing false tax returns, the Internal Revenue Service said Wednesday.

Howard S. Howard, 42, pleaded guilty to one count of filing a false return and four counts of aiding the preparation of false tax returns, the IRS said in a written statement. Howard’s assistant, Roberta Cinnater, 52, pleaded guilty to one count each of filing a false tax return and making a false statement to a government agency, IRS District Director Michael J. Quinn said.

In pleas submitted in federal court, Howard admitted to submitting false returns for clients from 1984 through 1987 by using false deductions, rental losses, partnership losses and false business losses, Quinn said.

Many of Howard’s clients believe that they were investing in legitimate tax shelters and paid Howard substantial sums of money for the alleged investments, which turned out to be phony tax shelters, Quinn said. Howard also admitted to the IRS that he failed to report as income money received from clients through the shelters, the IRS said.

Howard faces up to 15 years in prison and fines up to $1 million, Quinn said. He is scheduled to be sentenced May 4.

Cinnater also admitted to submitting false documents to the IRS to support the tax returns submitted by Howard and failing to report her income as his employee.

She faces up to eight years in prison and fines of up to $500,000. She is scheduled to be sentenced May 6, the IRS said.