Latest news with #ScheduleC
Yahoo
23-05-2025
- Politics
- Yahoo
Charlotte councilmember won't take plea or resign amid federal fraud allegations
Charlotte councilmember Tiawana Brown held her head high while staring down fraud allegations Friday as she and her two daughters faced a judge in federal court. They're accused of filling out more than a dozen fraudulent Covid relief loan applications. They all say they didn't do it. PREVIOUS STORY: City councilmember, daughters indicted on PPP fraud charges As she left court Friday, Brown told Channel 9's Hunter Sáenz she was pleased with how the day went. Inside court, she was respectful with the judge as she pled not guilty to multiple fraud charges. The feds say Brown, in part, misused thousands of dollars in Covid relief funds by spending $15,000 on an extravagant and flashy 50th birthday party for herself. Cameras weren't allowed in federal court, but we were inside the courtroom as Judge Susan Rodriguez gave Brown and her daughters each a $25,000 unsecured bond. They won't be held in jail, but they did have to surrender their passports. Brown can still travel throughout the U.S. for her American Airlines job, along with her nonprofit work. 'Any thoughts on your passport being revoked? I know it was a concern to do your job,' Sáenz asked. 'The judge allowed me to do what I love to do and that's work, travel the world, and help people,' Brown said. All three of them asked for their cases to go to a jury trial. Brown's attorney, Rob Heroy, said taking a plea deal is 'not up for consideration.' Heroy told Sáenz that he believes a trial is still months away and will likely be tried in a single case with all three defendants. Sáenz asked if she feels supported as she left court in Charlotte on a sunny Friday afternoon. 'Absolutely, what do you think? I won every precinct,' Brown said. But as Sáenz and Channel 9's Joe Bruno learned, the feds say they have a lot of evidence against her, and it goes beyond the $15,000 birthday bash. Between April 202 and September 2021, Brown and her two daughters allegedly used fake information and documentation, including fake tax forms that lied about the number of employees and gross income. All in all, feds say the trio submitted 15 applications and got at least $124,000 in Covid relief funds. One example from the indictment included an application by Brown and her daughter for a PPP loan for her swimwear business, TC Collection. Authorities say the two submitted a fake IRS Schedule C form that falsely claimed the company earned $96,000 in net profits in 2019. But feds say the form was fake and never submitted to the IRS. It was also the exact same form Brown's other daughter used for two of her businesses. One of the requirements for the Paycheck Protection Program loans was that a business was in operation prior to Feb. 15, 2020. Brown's application claimed the business had already been in existence and was profitable, but we found no registered businesses under this name with the Secretary of State's Office. Tiawana Brown has previously been convicted of fraud and was Charlotte's first city councilmember to be elected after serving a prison sentence. She told Sáenz and Bruno on Friday that she wouldn't resign from the council, and she plans to run for re-election. If Brown is convicted, current law says she will have to resign from the city council. (VIDEO: Charlotte councilmember, daughters to face judge on wire fraud charges)
Yahoo
09-05-2025
- Yahoo
Athens tax preparer sentenced to 8 years for $3.5M fraud scheme
The Brief Jessica Crawford was sentenced to eight years in federal prison for filing over $3.5 million in fraudulent tax returns linked to a pandemic-era unemployment scheme. Crawford operated through her business, filing false Pandemic Unemployment Assistance claims and receiving a portion of the benefits, with over $3 million in fraudulent claims identified by the IRS. Federal law enforcement emphasized the impact of Crawford's actions on taxpayers and highlighted the ongoing commitment to prosecuting such fraud cases. MACON, Ga. - A tax preparer from Athens has been sentenced to eight years in federal prison for filing more than $3.5 million in fraudulent tax returns, many connected to a pandemic-era unemployment scheme in which she received a share of the illegal proceeds. What we know Jessica Crawford, 34, was sentenced on Thursday by U.S. District Judge Tilman E. "Tripp" Self III to 96 months in prison followed by five years of supervised release. She pleaded guilty in November 2024 to one count of wire fraud and one count of aiding and assisting in the preparation of false tax returns. Federal prisoners are not eligible for parole. The backstory According to court records, the FBI began investigating a multi-state fraud involving Pandemic Unemployment Assistance (PUA) claims when they discovered Crawford's connection through text messages exchanged with others involved in the scheme. Operating through her business, Crawford Tax Services in Athens, she filed PUA applications on behalf of clients who submitted false information or fabricated businesses. In return, she received a portion of the benefits. The case also involved an undercover IRS-Criminal Investigation agent who met with Crawford in April 2022. During the meeting, Crawford fabricated a landscaping business based on a casual mention by the agent that he mowed his aunt's lawn. Without any documentation, she filed a Schedule C loss of \$19,373 and submitted a tax return electronically that falsely claimed a refund of $12,359. The return included improper claims for the Earned Income Tax Credit, Child Tax Credit, and a Qualified Business Income deduction. A statistical review by the IRS of 1,261 returns filed by Crawford for tax years 2020 and 2021 found more than $3 million in fraudulent claims, including false credits for sick leave, family leave, and dependent care. What they're saying "Federal law enforcement uncovered a large-scale tax return scheme during the pandemic that was costing taxpayers while benefiting fraudsters," said Acting U.S. Attorney C. Shanelle Booker. "Alongside our law enforcement partners, federal prosecutors will continue to uphold the law and pursue justice in these cases." Paul Brown, Special Agent in Charge of FBI Atlanta, said Crawford "lied and took advantage of funds designed to help those who were truly in need during the pandemic." "Jessica Crawford used her position as a tax preparer to defraud the U.S. government through a CARES Act program intended for those unemployed because of the COVID-19 pandemic," said Lisa Fontanette, Assistant Special Agent in Charge of the IRS Criminal Investigation's Atlanta Field Office. "The sentencing Crawford received should serve notice to unscrupulous tax preparers." The Source The details in this article were provided by the U.S. Attorney's Office, Middle District of Georgia.
Associated Press
18-04-2025
- Business
- Associated Press
Clear Start Tax Warns Taxpayers About Red Flags That Trigger Audits
From Self-Employment to Crypto, Clear Start Tax Outlines the Filing Mistakes Most Likely to Trigger IRS Audits in 2025 IRVINE, CA / ACCESS Newswire / April 18, 2025 / Now that the 2025 tax filing deadline has passed, Clear Start Tax is alerting individuals and small business owners to the IRS's heightened focus on audit triggers. With increased funding and expanded enforcement tools, the IRS is paying closer attention to specific red flags that could result in audits, penalties, or even collection actions. From unreported income and excessive deductions to cryptocurrency activity and improperly claimed credits, taxpayers face a growing list of issues that can put them on the IRS's radar. Clear Start Tax encourages taxpayers to file accurately and seek expert guidance, especially if they've made mistakes in the past or are carrying unresolved debt. The IRS Is Watching More Closely Than Ever In 2024, the IRS confirmed a renewed commitment to enforcement, particularly in areas involving high-income earners, complex business structures, and digital asset reporting. But audits aren't limited to the wealthy-everyday taxpayers can face scrutiny for simple filing errors or overlooked income. 'We're seeing a much more focused IRS,' said the Head of Client Solutions at Clear Start Tax. 'That means even small discrepancies or aggressive deductions could lead to bigger problems. Understanding what the IRS is targeting in 2025 is key to protecting yourself.' Top IRS Audit Red Flags for 2025 Clear Start Tax identifies the following as high-risk triggers for taxpayers and enforcement this year: Avoiding Mistakes-and Resolving Existing Issues Clear Start Tax advises taxpayers to review returns carefully, keep documentation for all deductions, and ensure all sources of income are reported. For those with existing IRS debt or unresolved filings, taking action now is critical to avoid penalties and potential enforcement. 'We work with clients every day who've made honest mistakes-or who didn't realize what they owed until it was too late,' said the Head of Client Solutions. 'The good news is that the IRS offers programs to help people get back on track-and we're here to help guide them through it.' What to Do If You're Facing an IRS Audit in 2025 An IRS audit can be stressful, but it doesn't have to be overwhelming, especially when handled early and properly. Clear Start Tax helps taxpayers respond to audit notices, gather supporting documentation, and communicate directly with the IRS to resolve issues before they escalate. Whether it's a Schedule C audit, a review of unreported income, or questions about credits and deductions, the firm provides experienced audit support and representation, helping clients navigate the process confidently and avoid unnecessary penalties. About Clear Start Tax Clear Start Tax is a full-service tax liability resolution firm that serves taxpayers throughout the United States. The company specializes in assisting individuals and businesses with a wide range of IRS and state tax issues, including back taxes, wage garnishment relief, IRS appeals, and offers in compromise. Clear Start Tax helps taxpayers apply for the IRS Fresh Start Program, providing expert guidance in tax resolution. Fully accredited and A+ rated by the Better Business Bureau, the firm's unique approach and commitment to long-term client success distinguish it as a leader in the tax resolution industry. Need Help With Back Taxes? Click the link below: Contact Information Clear Start Tax Corporate Communications Department [email protected] (949) 535-1627 SOURCE: Clear Start Tax press release
Yahoo
20-03-2025
- Yahoo
Colorado tax preparer sentenced for creating false returns and expenses
DENVER (KDVR) — A Littleton man was sentenced to serve 36 months in prison after he pleaded guilty to one count of aiding or assisting in the preparation of false documents. The plea agreement details how Thuan Bui, 60, operated a tax preparation business under several names between 2016 and 2021. Bui would tell his clients he was a certified public accountant, and then on hundreds of tax returns, Bui understated his clients' tax liability by overstating or creating false expenses on the Schedule C form, which is used to report income or loss on a business. 'Super Bowl Scammer' caught on camera bilking residents out of thousands The plea agreement and sentencing were announced Wednesday by the U.S. Attorney's Office for the District of Colorado. 'This defendant willfully and repeatedly abused his clients' trust when his job was to help them accurately file their annual tax returns,' said Acting United States Attorney J. Bishop Grewell in the announcement. 'I encourage all taxpayers to be vigilant during the ongoing tax season to make sure their information is captured and reported accurately.' The deadline to file federal taxes is April 15. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
