New York - Accountants Helped Taxpayers Cheat

New York - Two accountants have been indicted on charges of tax evasion and helping hundreds of their clients file false city and state tax returns, resulting in the loss of millions of dollars.

A 21-count indictment accuses Jeffrey C. Rosner, 52, of Queens, and David E. Cohen, 54, of Staten Island, of filing false returns for themselves and their wives from 1999 through 2003, District Attorney Robert Morgenthau said Tuesday.

In those five years, Rosner and Cohen -- who had offices in the Empire State Building -- also helped at least 600 clients evade millions in taxes, charging up to $500 to prepare a tax return, the prosecutor said.

"This is a massive tax fraud," he said. "This case is one of the largest we've ever brought," the case could lead to the recovery of at least $7.5 million in state and city income, business and sales taxes.

Finance Commissioner Martha E. Stark, warned that taxpayers cannot say they simply relied on an expert's advice. "That excuse is not valid," Stark said. "Tax cheats cost all of us."

Assistant District Attorney Gilda Mariani, head of Morgenthau's tax crimes unit, said investigators had audited "several hundred" returns prepared by Rosner and Cohen and every one contained false information.