Man sentenced to 7 months in prison for false tax returns

A Vermont attorney has been sentenced to seven months in prison for filing false tax returns.

John Canney III, of Rutland, also was fined $15,000. As part of a plea agreement, he has agreed to cooperate with the Internal Revenue Service in the assessment of taxes due to the government.

Canney pleaded guilty to filing false individual and corporate tax returns for tax year 2011 in June.

Court paperwork says Canney transferred client retainer fees and funds held in trust into a personal bank account, and were omitted from his tax filings.

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