St. Louis tax preparer sentenced for preparing false tax returns

ST. LOUIS, Mo. (First Alert 4) - A St. Louis tax preparer was sentenced for preparing at least 41 false tax returns, costing the IRS at least $312,192.

Shasherese M. Reed was sentenced to five years of probation and ordered to pay $230,000 in restitution after previously pleading guilty to two counts of aiding and assisting in the preparation of false and fraudulent tax returns.

Reed, 53, made up businesses out of thin air and claimed tens of thousands of dollars in false business expenses, false medical and dental expenses, mortgage interest, state and local taxes, and deductible employee expenses, all for the purpose of inflating the refunds her clients would receive from the IRS, often by thousands of dollars per return,” read a sentencing memorandum filed by Assistant U.S. Attorney Jonathan Clow.

Reed reportedly falsely identified her daughter as a paid tax preparer on the returns and filed them under her daughter’s tax preparation business. The IRS had revoked the Preparer Tax Identification Number assigned to Reed and her business after it determined she had submitted false tax returns.