The Justice Department has filed a civil injunction suit in federal court in New Orleans against Unnisha Paige, Rosetta Jones, Capriata Oatis, Keyante St. Cyr, Leah Smith, Laporscha Thompson, Deshira Horton, and India Toppins. These individuals operate under the name Paige’s Income Tax Services (Paige Tax). The department seeks to bar them from preparing tax returns for others or owning and operating any tax preparation business. Additionally, the complaint asks the court to require these defendants to return fees they allegedly earned by preparing false or fraudulent tax returns.
According to the complaint, Unnisha Paige franchises Paige Tax stores and is either a full or partial owner of each franchise location. The document also states that Paige sells tax preparation software and provides training for individuals interested in starting their own tax preparation businesses. The Justice Department wants the court to prohibit Paige from selling or licensing any tax preparation business or software.
The government alleges that the defendants prepared and filed tax returns designed to increase their customers’ refunds fraudulently. They are accused of charging high—and often undisclosed—preparation fees, resulting in harm both to customers and the U.S. Treasury. Specific allegations include falsely claiming Earned Income Tax Credits; fabricating businesses and related income or expenses on Schedule C forms; submitting false fuel tax credits; claiming child and dependent care credits without justification; and inventing COVID-19-related tax credits.
"The Tax Division reminds taxpayers that the IRS has information, tips and reminders on its site for choosing a tax preparer carefully (Choosing a Tax Professional and How to Choose a Tax Return Preparer) and has launched a free directory of credentialed federal tax preparers. The IRS also offers taxpayers tips to protect their identities and wallets when filing their taxes."
IRS Free File allows those with an adjusted gross income below $79,000 to use free online options for preparing and filing taxes on partner websites. Individuals above this threshold can access electronic federal forms online at no cost. Seniors and people with low to moderate incomes can find further assistance through resources provided by the IRS.
"In addition, IRS Free File, a public-private partnership, offers free online tax preparation and filing options on IRS partner websites for individuals whose adjusted gross income is under $79,000. For individuals whose income is over that threshold, IRS Free File offers electronic federal tax forms that can be filled out and filed online for free. The IRS has tips on how seniors and individuals with low to moderate income can get other help or guidance on tax return preparation, too."
Over the past ten years, the Justice Department’s Tax Division has secured civil injunctions and criminal convictions against hundreds of fraudulent tax preparers.
"In the past decade, the Justice Department’s Tax Division has obtained civil injunctions and criminal convictions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details."
