Criminal Cases

Tax Preparers Admit to Crimes, Face Prison Time After IRS Investigation

Tax Preparers Admit to Crimes, Face Prison Time After IRS Investigation

Three tax preparers have admitted to crimes, and one has been sentenced to federal prison, after an IRS Criminal Investigation Division (IRS-CI) investigation.

According to an official release from the tax agency, Tamara Turner (Tamara Owens), Brittany Richardson and Terra White pleaded guilty to their roles in the tax fraud scheme on March 22, February 1 and February 25, 2023, respectively.

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Credit: Benjamin Rondel/Getty Images

Turner, the ringleader, faces 41 months of imprisonment followed by three years of supervised release. Richardson and White must serve two years of probation. The trio was also ordered to pay a collective $308,537 in restitution for the losses they caused. 

Between 2014 and 2018, Turner and her co-conspirators defrauded victims for approximately four years. During this period of time, Turner owned AJW Taxes and More Tax Preparation Service, located on Westpark Drive in Houston, Texas. Richardson and White worked for Turner as tax preparers at various points during tax season each of these years.

Per the IRS, in her plea agreement, Turner admitted that she knowingly submitted fraudulent Schedule C forms and W-2 tax records to the IRS on her clients' behalf. She falsely inflated losses in order to obtain larger tax refunds. 

Additionally, Turner regularly submitted fake W-2 forms that either featured non-existent employment or altered employment information in order to qualify her clients for the Earned Income Tax Credit (EITC).

She also charged tax preparer fees that were significantly higher than other local preparers, pocketing the additional profits. 

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Credit: Chip Somodevilla/Getty Images

Ramsey E. Covington, Special Agent in Charge of IRS Criminal Investigation's Houston Field Office spoke out, saying, "Fraudsters like Turner learn that the real cost of stealing from taxpayers is paid by losing freedom. Return preparers that promise higher returns by committing fraud also shirk their responsibilities by placing the burden on all the other taxpayers."

"Our special agents and investigators are experts at following the money back to the criminals that took it," he concluded. 

Turner was permitted to remain free on bond for the time being. She will voluntarily surrender to a U.S. Bureau of Prisons facility on an unconfirmed date in the near future.

What do you think about Turner's actions?

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Feature Image Credit: Olga Ihnatsyeva/Getty Images

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Rebekah Barton

Rebekah Barton

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