(Editor's Note: Following his arraignment in Boston Muncipal Court on Friday, Dec. 9, Daniel Adams was subsequently indicted by a Suffolk County Grand Jury on Monday, Dec. 12, and arraigned on Tuesday, Dec. 13 in Suffolk Superior Court. The Attorney General's office issued a press release after the indictment which describes the alleged fraud in more detail. Bail remains at $100,000 cash.)
Attorney General Martha Coakley today announced the arraignment of movie director Daniel Adams on charges of defrauding the Commonwealth's film tax credit program of $4.7 million.
The AG said that "today's action is an important step to ensure that the film tax credit is awarded appropriately while encouraging legitimate productions to be filmed here in Massachusetts. We want to thank the Department of Revenue for discovering this alleged fraud and working cooperatively with our office to investigate further."
The release recognized DOR investigators Janel Cosgrove and Tom Nowicki for their work on the case.
The investigation began in March 2010 when an investigator at DOR spotted suspicious tax returns connected to the "The Lightkeepers'" film. "Concerned that these returns might be fraudulent documents the DOR began an investigation and then referred the findings to the AG's Fraud and Financial Crimes Division," the AG's release said.
The alleged fraud centered on inflated payroll and production expenses for two films. Inflating the value of those increases the value of the film tax credit, which is equal to 25 percent of production costs. The AG alleges that Adams fraudulently claimed $4.7 million in film tax credits.
DOR recently released its 2011 film tax credit report. To date, 556 film productions have received $276.1 million in tax credits while spending more than $1.13 billion in Massachusetts
DOR Joins Forces with Others to Fight Tax Fraud posted on Nov 25
The Massachusetts Department of Revenue (DOR) continues to be serious about combating tax and identity fraud. Not only have we continuously redoubled our anti-fraud efforts, we have in the past welcomed every opportunity to join forces with others to fight the ever-growing issues of identity …Continue Reading DOR Joins Forces with Others to Fight Tax Fraud
Tax Practitioners Report in on Sneak Preview of MassTaxConnect posted on Nov 24
On November 30th, the Massachusetts Department of Revenue (DOR) will release MassTaxConnect, the next generation tax system, to business and corporate taxpayers. The new filing system will replace WebFile for Business. In anticipation of the launch, DOR invited tax practitioners to preview MassTaxConnect and weigh …Continue Reading Tax Practitioners Report in on Sneak Preview of MassTaxConnect
MassTaxConnect: A Big Win for Small Businesses in the Commonwealth posted on Nov 23
Small businesses are the lifeblood of a healthy economy. That’s true nationally, and that’s certainly true here in Massachusetts. With the advent of DOR’s newest electronic filing system, MassTaxConnect, life is about to get a whole lot easier for many companies across the Commonwealth. Currently, …Continue Reading MassTaxConnect: A Big Win for Small Businesses in the Commonwealth