Maricopa - On December 21, 2020, a state Grand Jury indicted Michelle Schaefer, a tax preparer and owner of MM Tax Solutions, on charges of Fraudulent Schemes and Artifices, four counts of Preparing False Tax Returns and four counts of Forgery for allegedly preparing Arizona personal income tax returns that contained fraudulent information for tax year 2018.
The Arizona Department of Revenue’s Criminal Investigation Unit investigated the case with assistance from the Arizona Attorney General’s Office.
It is alleged that Schaefer operated a scheme in which she would knowingly create fictitious W-2s with fabricated Arizona income tax withholdings to increase tax refunds for herself and three clients.
The investigation revealed that Schaefer used a landscaping company’s sensitive business information without its knowledge or consent to create the fabricated W-2s using fraudulent Arizona income tax withholdings.
It is alleged that Schaefer obtained the landscaping company’s information when she prepared its tax returns through MM Tax Solutions. The inclusion of the fraudulent withholding amounts on its tax returns resulted in higher tax refunds.
The Attorney General's Office is prosecuting the case.
All defendants are presumed innocent until proven guilty in a court of law.
Copy of indictment.
Friday, February 5, 2021