Columbus, Ga – In a shocking act of deception, Nadine Word, 35, pleaded guilty in federal court to charges that she submitted false claims for tax credits for her clients and also failed to pay her own personal taxes.
According to court documents, between at least 2014 and 2018, Word prepared and submitted fraudulent tax returns out of her tax preparation business, Superior Taxes. These fraudulent returns resulted in greater tax refunds for Word’s clients and greater fees for Word, amounting to a total loss of $586,565. Word would submit fraudulent claims for earned income credits, education credits and business losses.
An analysis of tax returns claiming education credits revealed that 408 of 494 claims filed by Word had no supporting education records at the documented educational institution. The falsely submitted education credits from these 408 claims resulted in a tax loss of $556,145. Additionally, the IRS evaluated 31 individual returns finding false education credits, false earned income credits and false business expenses.
Word pleaded guilty to one count of aiding and assisting in the preparation and presentation of false and fraudulent individual income tax returns and one count of willful failure to file return, supply information, or pay tax before U.S. District Judge Clay Land today, February 2. Word faces a maximum of three years imprisonment to be followed by one year of supervised release and a $100,000 fine for the first count and a maximum sentence of one year imprisonment to be followed by one year of supervised release and a fine of $25,000 for the second count.
Sentencing is scheduled for June 13. There is no parole in the federal system. Tax preparers have an ethical and legal obligation to file correct tax returns for their clients, and should—of course—be paying their own taxes, said U.S. Attorney Peter D. Leary. This kind of fraud greatly harms the public trust; individuals in the Middle District of Georgia caught illegally gaming the system by making up false claims to reap larger refunds or pay less taxes than everybody else will be held accountable at the federal level.
Assistant U.S. Attorney Amy Helmick is prosecuting the case for the Government. The case was investigated by IRS. James E. Dorsey, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office, added, “Nadine Word pleaded guilty to preparing and submitting false tax returns and failing to file her personal tax returns. As tax season is currently underway, citizens should be reminded that committing tax fraud will lead to criminal prosecution.”
The exact criminal charges against Nadine Word are one count of aiding and assisting in the preparation and presentation of false and fraudulent individual income tax returns and one count of willful failure to file return, supply information, or pay tax.
Nadine Word is a resident of Columbus, Georgia. The city and state of the crime are Columbus, Georgia.
The sentencing date is June 13. The maximum sentence for Nadine Word is three years imprisonment, one year of supervised release, and a $100,000 fine for aiding and assisting in the preparation and presentation of false and fraudulent individual income tax returns. She also faces a maximum sentence of one year imprisonment, one year of supervised release, and a fine of $25,000 for willful failure to file return, supply information, or pay tax.
The total loss due to Nadine Word’s actions is $586,565, resulting from fraudulent education credits and false business expenses. The loss due to education credits alone is $556,145.
Related Federal Cases
- Angela Miller and Lee Lynwood, Tax Return Fraud, Georgia, 2008 · Georgia
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- Kimberly Michelle Banks, Identity Theft Tax Fraud Scheme, GA, 2023 · Georgia
- Willie C. Grant, ID Theft and Tax Refund Fraud, Macon GA, 2008 · Connecticut
- Maurice Hester Sentenced to 64 Months for Tax Fraud, Milledgeville … · Georgia
Key Facts
- State: Georgia
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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