Former IRS Employee Sentenced To 24 Months For Tax Fraud
Ordered to Pay Over $300,000 in Restitution
OAKLAND – Valorie Shaw was sentenced to 24 months in prison and ordered to pay restitution of $309,834 for conspiring to file false claims, announced United States Attorney Melinda Haag and Internal Revenue Service, Criminal Investigation Special Agent in Charge José M. Martinez.
Shaw, 38, of Oakland, pleaded guilty on January 23, 2015, to conspiracy to file false claims. Shaw was employed as a tax return preparer at “Kwiktax” for three years. Prior to working at Kwiktax, she held a variety of jobs, including working as a document transporter for the IRS. During 2011 and 2012, Shaw prepared false tax returns that she filed with the IRS. The purported filers listed on those tax returns were not entitled to tax refunds because the wage and tax withholding information listed on the returns were fictitious. Shaw also filed false W-2 information that stated the purported filers worked for the employers listed on the W-2s, even though she knew the information was false. Shaw filed the false tax returns using personal information she obtained illegally. Specifically, Shaw used personal identifying information of Kwiktax clients, including their names, dates of birth, and Social Security numbers, without these victims’ knowledge.
During 2011, Shaw assisted in filing false tax returns requesting refunds in an amount no less than $487,248, for the 2010 tax year. During 2012, Shaw assisted in filing false tax returns requesting refunds totaling $495,789 for the 2011 tax year.
Shaw was indicted on August 14, 2014. She was charged with conspiracy to file false claims, in violation of 18 USC § 286. Shaw pleaded guilty to that charge. The Honorable Jon Tigar, U.S. District Judge, imposed the sentence. Judge Tigar also ordered Shaw is to surrender on September 18, 2015, to begin serving her sentence.
Assistant U.S. Attorney Thomas Newman is prosecuting the case. The prosecution is the result of an investigation by the Internal Revenue Service, Criminal Investigation.