The area of finance is of serious concern. For many, the largest amount of income they will receive at one time is their Tax Refund. While it can seem tempting to try and increase that refund through deceptive means. The painful truth is that lies will only cause more money to be paid and some jail time served, no matter what any professional might say. Here are some examples.
A Tax Preparer in Wisconsin has pleaded guilty to defrauding the IRS of around $500,000 by making false claims about dependents in the Taxpayer’s household. It started with investigating 1 Return that showed a $3,700 refund when there should have been $1,100 owed. From there it was determined that over a 4 year period over 9,500 Tax Returns were filed by this Preparer, creating a total of $34 Million in refunds. These Returns averaged 3 dependents each and the majority used Individual Taxpayer Identification Numbers (ITIN).
A Tax Preparer in Mississippi has been convicted on 7 counts of fraud, in connection with some clients’ self-employment retirement plans. He had already plead guilty to a conspiracy charge since his employer knew of this scheme. At sentencing, there is a maximum of 21 years and $700,000 in fines court fees that could be given. Please do not use a Tax Professional who is willing to do these sorts of things.