The feds are cracking down on a Houston tax preparer, Taxes R Us, and its operator, Morshanda Lewis, with a lawsuit that seeks to slam the door on her tax preparation activities. The Justice Department has filed a civil injunction suit in the U.S. District Court for the Southern District of Texas, aiming to permanently forbid Lewis from preparing tax returns for others or running a tax prep business, according to a statement released on March 13th.
Accused of cooking the books to conjure up larger refunds for her clients than they're due, Lewis has allegedly been playing fast and loose with federal income tax filings. The government's complaint details how, since 2020, Lewis was supposed to have prepared hundreds of returns that falsely claimed residential energy and education credits, inflating refunds improperly and causing a tax revenue loss of over $1 million, according to the Justice Department's announcement.
This isn't the first time Lewis has faced scrutiny. The IRS had previously warned her as far back as November 2013 about apparent errors in the returns she prepared. Ignoring these cautions, she continued engaging in tax preparations that claimed bogus credits, the Justice Department says.
In a move designed to protect honest taxpayers, the feds have offered resources for choosing reliable tax preparers. Their website features a directory of federal tax preparers, along with 10 tips to steer clear of tax season fraud. In view of these ongoing fraudulent activities, this initiative aims to help taxpayers safeguard their personal information.
Crusades against deceitful tax preparers have been a staple for the Justice Department's Tax Division, which has secured injunctions against hundreds in the past ten years. Those interested can get the scoop on previously enjoined tax preparers on the Justice Department's website, complete with a searchable alphabetical listing. They also urge anyone with suspicions about a barred individual or business still operating to come forward with information.
