A Salem, Oregon woman, Krystle Marie Reyes, was sentenced to 5 1/2 years in prison for a fraudulent 2011 state tax return claiming a refund in excess of $2 million dollars. The State of Oregon has recovered about $1.9 million of the money. However, Reyes spent about $150,000 on a shopping spree for various consumer items, including a queen-sized air mattress, a deep fryer, an air conditioner and a cream and gray floral rug before being apprehended. She also bought a sofa and recliner with brown leather trim. Oregon currently provides conforming goods at all its correctional facilities.
The scam was discovered when Reyes twice reported her debit card stolen. The State of Oregon previously loaded Reyes' debit card with the enormous refund.
Reyes' return was initially flagged by revenue officials when she reported $3 million in income for the year and requested the large refund. For unknown reasons, Oregon revenue officials reversed the hold on the refund before the error was discovered. Reyes made less than $15,000 in 2009 and 2010.
Fight the temptation to file inaccurate returns. We can argue about alot of things (assets, expenses, values, etc.) with taxing authorities. But, you can't hide money or lie about your income and deductions to get a refund. If you have questions about filing a proper tax return, call Travis Watkins today for more information.