Federal Court Bars Louisiana Tax Preparers From Claiming Inflated Deductions

A federal court in New Orleans today barred Rodney G. Bourg and Cynthia M. Bourg of Houma, La, from preparing federal income tax returns claiming inflated deductions or asserting unrealistic positions, the Justice Department announced. The Bourgs consented to the injunctions.

The government complaint in the case alleged that the Bourgs prepared federal income tax returns with improper deductions for customers who worked as mariners, fishermen, merchant seamen and ferry workers. The customers’ returns allegedly claimed improper per diem expense deductions for meals and incidental expenses even though the customers’ employers provided meals and any necessary lodging for free.

The civil injunction order requires the Bourgs to notify their customers of the injunction and to give the Justice Department a list of the names, mailing and e-mail addresses, social security numbers, and telephone numbers of customers for whom they prepared returns with improper deductions.

This is the sixth injunction obtained against tax preparers who claimed the so-called mariner's deduction.