Tax Preparer Guilty Of Defrauding The Irs To Obtain Several Thousand Dollars Of Tax Refunds

United States Attorney Andrew M. Luger today announced the guilty plea of TYMONIA SHAFAY WILLIAMS, 33, to one count of filing False, Fictitious and Fraudulent Claims. WILLIAMS was indicted on August 11, 2014 for filing False, Fictitious and Fraudulent Claims against the government, and pleaded guilty on October 6, 2014 before United States District Court Judge Richard H. Kyle.

According to the defendant’s guilty plea and documents filed in court, in February 2010, WILLIAMS devised a scheme in which she prepared and electronically filed false tax returns on behalf of her friends, family and acquaintances. As part of the scheme, WILLIAMS collected personal information from the individuals for whom she was preparing tax returns, including addresses, social security numbers and Form W-2 or 1099s.

Additionally, for each false return, WILLIAMS completed a Schedule C claiming that the individuals earned self-employment income from various jobs such as “hairdresser,” “dancer,” or “entertainer.” By including false amounts of self-employment income on the tax returns, WILLIAMS was able to apply certain credits to fraudulently generate large tax refunds. The total amount of the tax loss for all returns is at least $100,000.

“Investigating refund fraud is a top priority for IRS Criminal Investigation,” said IRS Criminal Investigation Acting Special Agent in Charge Karl Stiften. “Filing false tax returns is a serious crime that hurts innocent taxpayers. Law enforcement and the United States Attorney’s Office are serious about investigating these crimes and holding accountable those who defraud the government and taxpayers.”

This case is the result of an investigation by the Internal Revenue Service-Criminal Investigation Division.

Assistant United States Attorney John E. Kokkinen prosecuted the case.

Defendant Information:

TYMONIA SHAFAY WILLIAMS, 33
West St. Paul, Minn.

Charges:
• False, Fictitious and Fraudulent Claims, 1 count

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