Heather Nicole Neal, Tax Fraud Conspiracy, Missouri 2020

A Springfield woman has been sentenced to federal prison for her role in a tax fraud conspiracy. Heather Nicole Neal, 35, was sentenced by U.S. District Judge Roseann Ketchmark to two years and six months in federal prison without parole.

The case dates back to 2020 when Neal pleaded guilty to her role in a conspiracy to defraud the government. Neal admitted that she conspired with John Dennis Sedersten, an inmate in the Christian County Jail in Ozark, Mo., and other co-conspirators to file fraudulent tax returns. Sedersten organized and led the conspiracy from within the jail, providing his co-conspirators with specific instructions on how to complete and file false federal income tax returns.

The fraudulent tax returns included false W-2 information, listing employers who did not employ the individual listed on the return, and reporting wages not earned, employment taxes not withheld, and business expenses not incurred by the individual. Sedersten provided them with the EIN for JDS Enterprises, a company registered to Sedersten, under which they could report the false wages and withholdings.

Neal filed a tax return under her own name that fraudulently claimed a refund of $9,864. Co-defendant Janet Renea Kirby, 34, of Springfield, has also pleaded guilty and awaits sentencing. Kirby filed a tax return under her own name that fraudulently claimed a refund of $18,427.

The conspiracy led by Sedersten sought a total of $373,372 in refunds. Sedersten was sentenced on Aug. 17, 2016, to six years and six months in federal prison without parole for his role in the conspiracy.

The case is being prosecuted by Assistant U.S. Attorneys Casey Clark and Steven Mohlhenrich. It was investigated by IRS-Criminal Investigation.

Heather Nicole Neal’s sentence is a reminder of the consequences of tax fraud. Taxpayers are expected to pay their fair share of taxes, and those who try to cheat the system will face serious consequences.

Sources: IRS-Criminal Investigation, U.S. Attorney’s Office

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