Federal court shuts down Ringgold tax office - KSLA News 12 Shreveport, Louisiana News Weather & Sports

Federal court shuts down Ringgold tax office

(Source: Raycom Images) (Source: Raycom Images)
RINGGOLD, LA (KSLA) -

A tax return office in Bienville Parish was shut down by a federal court after reportedly fabricating returns.

According to the United States Department of Justice, Angelina Adams also known as Angelina Morris of Princeton, LA and her tax preparation business, Angie’s Tax Service LLC, repeatedly and continually prepared tax returns that understated liabilities and overstated refunds.

Their alleged schemes included fabricating documents to secure bogus earned income tax credits, deducting false employee business expenses and moving expenses and claiming unsupported education credits.

In one example cited in a complaint from the government, Angie’s Tax Service prepared a customer’s returns to report over $25,000 and $20,000 in losses for an electrician business in the 2013 and 2014 tax years, respectively. The complaint alleged that the customer had no such business.

In another example, the complaint alleged that Adams prepared a customer’s return to report $24,484 in unreimbursed employee business expenses although the customer incurred no out-of-pocket expenses for her job. 

The use of fraudulent unreimbursed business expenses by the defendants may have generated more than $10 million in fraudulent deductions.

The IRS has some tips on their website for choosing a return preparer and has launched a free directory of federal tax preparers.

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