Shawn Robin Gibson, Tax Preparer Fraud, Michigan 2006

A U.S. District Court has issued an order permanently barring Shawn Robin Gibson, a Detroit tax preparer, from preparing federal tax returns for others, the Justice Department announced today.

Gibson operated businesses that provided tax return preparation services under the names New Detroit Tax Service and Shawn Gibson & Company. The court found that Gibson has admitted that the tax returns he prepared for customers contained falsely claimed Schedule C losses, itemized deductions and Schedule A deductions. In addition, Gibson admitted to preparing false powers of attorney to amend and file his customers’ returns in order to defraud the Internal Revenue Service (IRS) and obtain portions of his customers’ refunds.

Gibson is currently incarcerated after pleading guilty in November 2006, to one count of conspiring to impede, obstruct and defeat the lawful functions of the IRS. In addition, in July 2008, Gibson pleaded guilty to one count of aiding and assisting in the preparation of false and fraudulent income tax returns. The court found that based on his prior criminal convictions and his continued efforts to engage in tax preparation activities while incarcerated, a permanent injunction was appropriate as there is a likelihood that he will commit future violations of the internal revenue laws.

The court also ordered Gibson to provide the government with a list of his customers and to contact all of his customers by mail within 30 days of the date he is released from prison and provide them with a copy of the Court’s injunction order.

Gibson’s crimes were uncovered after a thorough investigation by authorities, who worked tirelessly to bring this tax cheat to justice. The court’s decision is a clear message that tax preparers who engage in fraudulent activities will be held accountable for their actions.

The public is advised to be cautious when selecting a tax preparer and to research their credentials before handing over sensitive financial information. By taking these precautions, individuals can protect themselves from falling victim to tax scams and fraudulent activities.

Shawn Robin Gibson’s case serves as a reminder of the importance of honesty and integrity in the tax preparation industry. The court’s decision will help to ensure that taxpayers can trust the professionals they hire to help them navigate the complex tax code.

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