Madison Man Pleads Guilty to Conspiring to Commit Tax Fraud and To Identity Theft
MADISON, WIS. -- John W. Vaudreuil, United States Attorney for the Western District of Wisconsin, announced that Juan Tamez Diaz, 41, Madison, Wis., pleaded guilty today in U.S. District Court in Madison to conspiracy to commit tax fraud and to one count of identity theft. U.S. District Judge James D. Peterson scheduled sentencing for April 18, 2017, at 1:00 p.m.
Tamez Diaz was indicted in May 2016 for conspiring to file false federal income tax returns. From January 2009 to May 2015, Tamez Diaz obtained individuals’ personal identification information, including names, Social Security Numbers, and Individual Taxpayer Identification Numbers. He also obtained employer information from six legitimate companies, and then used this information to create fictitious W-2 Forms in the names of individuals not actually employed by these companies. He used the information and the fictitious W-2 Forms to prepare and file approximately 130 false federal income tax returns requesting tax refunds in the names of the individuals, seeking fraudulent refunds totaling approximately $588,000. The indictment alleged that Tamez Diaz obtained approximately $456,000 in refunds as the result of this fraud scheme.
In addition to the conspiracy charge, Tamez Diaz also pleaded guilty to identity theft by using a means of identification of another person to commit a felony, the filing of a false tax return.
As part of his plea agreement, Tamez Diaz has agreed to pay restitution for all losses relating to the offenses of conviction and all loses covered by the same common scheme, which total $456,000.
Tamez Diaz faces a maximum penalty of 10 years in federal prison on the conspiracy to defraud the United States charge, and a mandatory two years on the identity theft charge which will be served consecutively to any sentenced imposed on the conspiracy charge.
The charges against Tamez Diaz were the result of an investigation conducted by IRS Criminal Investigation. The prosecution of this case is being handled by United States Attorney John W. Vaudreuil and Assistant U.S. Attorney Elizabeth Altman.