Utah Tax Prepper Admits to $211K Fraud Scheme

SALT LAKE CITY – Gina D. Salayandia, 45, of West Point, Utah, is facing federal prison time after admitting to a brazen scheme to defraud the U.S. government. The self-employed tax preparer pleaded guilty this week to knowingly assisting at least 15 individuals in filing false federal tax returns between 2006 and 2011.

Salayandia, who has been operating her Hooper, Utah-based business since at least 1999, didn’t just prepare taxes – she actively crafted lies to inflate refunds. Court documents detail how she specifically advised clients to claim ineligible dependents and fraudulent tax credits, knowing full well they didn’t qualify. She waived indictment and faced the charge in a Felony Information filed in April.

The scheme came to light through a single case highlighted in court documents. On January 21, 2011, a client identified as M.M. approached Salayandia for help with her 2010 return. Salayandia allegedly saw an opportunity and suggested adding false dependents to M.M.’s filing, explicitly knowing the client wasn’t entitled to the additional exemptions or the child tax credit – especially because those purported dependents weren’t U.S. citizens or residents.

Salayandia admitted in her plea agreement that she knowingly prepared falsely stated tax exemptions and credits, violating the Internal Revenue Code. The scope of the fraud is significant: the total tax loss attributed to her actions is a staggering $211,600. She’s now looking at a possible three-year prison sentence, a $250,000 fine, and a year of supervised release.

U.S. Magistrate Judge Dustin Pead accepted Salayandia’s guilty plea Wednesday. The case is now set for sentencing on September 4, 2013, before U.S. District Judge Clark Waddoups. This isn’t just about numbers on a tax form; it’s about a calculated betrayal of the public trust by someone sworn to uphold the law.

Grimy Times will continue to follow this case and report on the sentencing. Salayandia’s actions demonstrate a callous disregard for the integrity of the tax system and the burden placed on honest taxpayers. The Department of Justice is sending a clear message: those who exploit the system for personal gain will be held accountable.