State Codes and Statutes
Statutes > Virginia > Title-58-1 > Chapter-3 > 58-1-348-2§ 58.1-348.2. Authority to enjoin income tax return preparers.
A. The Department may commence a civil action to enjoin any person who is anincome tax return preparer from further engaging in any conduct described insubsection B or from further action as an income tax return preparer. Thevenue for any action under this section shall be brought in the circuit courtin the circuit where the income tax return preparer resides or has hisprincipal place of business or in the jurisdiction in which the taxpayer withrespect to whose income tax return the action is brought resides. The courtmay exercise its jurisdiction over such action separate and apart from anyother administrative or judicial action brought by the Commonwealth againstsuch income tax return preparer or any taxpayer.
B. In any action under subsection A, the court may enjoin the income taxreturn preparer from further engaging in any conduct specified in thissubsection if the court finds that injunctive relief is appropriate toprevent the recurrence of such conduct. The court may enjoin conduct when anincome tax return preparer has:
1. Engaged in any conduct subject to penalty under § 6694 or 6695 of theInternal Revenue Code, or subject to any criminal penalty provided by theInternal Revenue Code or this title; or
2. Engaged in any other fraudulent or deceptive conduct that substantiallyinterferes with the proper administration of the tax laws of the Commonwealth.
C. If the court finds that an income tax return preparer has continually orrepeatedly engaged in any conduct described in subsection B and that aninjunction prohibiting such conduct would not be sufficient to prevent suchperson's interference with the proper administration of the tax laws of theCommonwealth, the court may enjoin such person from acting as an income taxreturn preparer. The fact that that person has been enjoined from preparingincome tax returns for the United States or any other state in the five yearspreceding the petition for an injunction shall establish a prima facie casefor an injunction under this section.
(2005, c. 48.)
