A North Richland Hills tax preparer has been sentenced to three years in a federal prison for creating and submitting false income tax returns that resulted in a loss of more than $1 million to the Internal Revenue Service.
Michael Lloyd Moody, 32, was sentenced Wednesday in a Dallas federal courtroom and was also ordered to pay restitution to the IRS.
Moody was taken into custody in October when he violated the terms of his pretrial release.
Moody pleaded guilty in December 2013 to two counts of aiding and assisting in the preparation and presentation of false and fraudulent individual income tax returns. He had been indicted in March 2013 on 16 federal counts.
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Moody admitted to federal agents that from 2009 to 2010, he prepared fraudulent income tax returns from his North Richland Hills home and delivered his completed returns to Universal Tax in Irving to be electronically filed with the IRS. He wrote in false or inflated deductions and credits to produce fraudulent refunds, according to federal court documents.
Federal agents offered one example of his false returns: On March 1, 2010, Moody included a $37,044 business loss and a $2,349 education credit due to a client on an individual tax return. The client received a $7,906 refund. The client, however, did not own a business, and he did not incur expenses for the education credit, according to court documents.
Domingo Ramirez Jr.