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Jackson Hewitt to Suspend Most Tax Services in Triangle

Posted April 10, 2007

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— Jackson Hewitt Tax Service said Tuesday it has reached an agreement with a Triangle-area franchisee to temporarily suspend preparation and filing of tax returns at all of its locations.

The move comes a week after the U.S. Department of Justice and the Internal Revenue Service sued the franchisee, Farrukh Sohail of Atlanta, alleging the tax outlets he operated filed phony tax returns that cost the federal government more than $70 million.

The suits allege that the franchises hired poorly trained workers to complete tax returns for customers.

Some Jackson Hewitt franchise managers and employees received kickbacks from customers for helping them file fraudulent tax returns, according to the suits.

The agreement between New Jersey-based Jackson Hewitt and the franchises affects most of the 34 Jackson Hewitt outlets in the Triangle, though at least one, on East Millbrook Road in Raleigh, is owned by another franchisee, as well as those in Atlanta, Chicago and Detroit, where Sohail has other franchises.


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  • mramorak Apr 15, 2007

    they are all crooks

  • Go Figure Apr 15, 2007

    TURBO TAX FOR ME....every yr

  • Dick Apr 14, 2007

    The Fair Tax would take care of ALL the confusion/ hassle (BTW, we've had a 'flat tax' for decades. The trouble is, it hasn't stayed very flat).

  • mjkmj Apr 14, 2007

    Surfer...the ones who dress up as Uncle Sam and Lady Liberty are for LIBERTY TAX SERVICE...the hire only the most reliable crackheads to wave to people on the street.
    Jackson Hewitt did my taxes for several years and they do hire non qualified people...one year the supervisor had to totally redo my entire return because the girl was too ignorant. I got them done for free that year.
    TURBO TAX is the way to go!!

  • surfer Apr 14, 2007

    "The suits allege that the franchises hired poorly trained workers to complete tax returns for customers." Yeah, but have you seen the people who stand on the street corners dressed like Lady Liberty and Uncle Sam? They are highly trained and doing a heck of a job.

  • raglangr Apr 13, 2007

    Fair Tax all the way.

  • mslisac363 Apr 11, 2007

    who cares - do your own taxes!

  • Corvette Sales Apr 10, 2007

    Turbo tax!

  • Tax Man Apr 10, 2007

    Oh my gosh - a math error! I meant to say they were getting a refund of $250, paid fees of $175 and only got to keep $50! The biggest rip off of all is that if you get a big refund, your government has been using that money interest free all year! If you plan right you can have more in each paycheck and not owe any money on April 15 - if you invest what you get extra you will have a nice little "bonus" - and the government will get none.

  • Tax Man Apr 10, 2007

    Tax refund loans are a rip off - very high fees and outrageous interest - over 300%! You get about 65% of you money a week earlier than if you just waited to get 100%. I have seen people with a tax refund of $250 pay over $175 in fees and net out only $75 - but they got it a week earlier????

    I fully support the Fair Tax (www.fairtax.org) as a reasonable way to finance our government. That coupled with responsible government spending would go a long way to helping the middle & lower class of America.

    Been doing taxes now since 1978 and it always has new twists. Sorry about Jackson-Hewitt, but if you cheat, you get caught & you have to pay! I would be very concerned if my taxes were prepared by them as most will probably get audited for the last 3 years taxes - and if J-H screwed up, the taxpayer has to pay.

    Use the legal deductions and plan your taxes - best way to save on taxes is to have a small business - sell on Ebay or do some consulting work. And it is legal.