Tax Refund Scam

⏱ 2 min read

Three family members from Texas were involved in a massive tax refund fraud scheme, filing fake tax returns in the names of trusts they controlled to receive over $8.5 million in tax refunds. The scheme, which lasted until they were caught, was orchestrated by David Hunt, his son Baylon Hunt, and Baylon’s half-brother Corey Burt, all of whom were sentenced to prison. The Hunts, of Arlington, Texas, and Burt, formerly of Long Beach, Mississippi, submitted fake documents to the IRS, including falsified financial instruments and altered money orders, despite receiving warning letters to stop.

The co-conspirators received over $1.7 million in fraudulent proceeds from the IRS, which they used to purchase luxury goods, furniture, cryptocurrency, a Cadillac Escalade, and a house in Mississippi. The family members were convicted of conspiracy to defraud the United States, with David Hunt, Burt, and another family member also convicted of multiple counts of aiding and assisting in the preparation of false tax returns.

As a result of the scheme, the defendants were jointly ordered to pay $1,774,864 in restitution to the United States. David Hunt was sentenced to 92 months in prison, Baylon Hunt to 38 months, and Corey Burt to 94 months. A fourth family member is scheduled to be sentenced in May.

The case highlights the severity of tax refund fraud and the consequences of such crimes. The IRS and other law enforcement agencies are cracking down on these types of schemes, which can result in significant financial losses for the government and taxpayers.