MACON, Ga. (WRBL) – The U.S. Attorney’s Office for the Middle District of Georgia announced a Macon resident pled guilty to falsifying tax records for herself and her father to receive $331,758 in refunds by creating a fake business with hundreds of non-existent employees; in an attempt to commit a tax fraud scheme totaling over $3.5 million.
According to the U.S. Attorney’s Office, 43-year-old Lonnise Janelle Andrews from Macon pled guilty to one count of making and subscribing a false return, one count of a false claim for a tax credit and one count of a false claim for a refund on Monday.
As of now, Andrews faces up to 13 years in prison and up to $600,000 in fines. Andrews also agreed to pay $331,758 in restitution to the IRS. Her sentencing is scheduled for Jan. 4, 2024.
Based on court records, Andrews falsified IRS tax forms for herself, her father, and a fake company. She falsified reported incomes, losses and withholdings. On her Form 1040 filed for the 2019 tax year, Andrews used a tax preparation website to create fake Forms 1099-MISC and 1099-R, which resulted in the IRS refunding her $165,245 that she later cashed.
Besides falsifying Form 1040 for herself and her father, she also filed Forms 941 and 7200 containing inaccurate information. She filed for a company named Andrews Harris Corbin (AHC) and listed her fathers and a fake person “Greg Corbin” as the organizers for AHC.
AHC never filed an income tax return and was not reported as a Schedule C business on anyone’s tax returns, nor filed any documents with the Social Security Administration about its employees.
Instead, Andrews signed and filed false forms in 2020 and attempted and successfully obtained refunds and credits. The U.S. Attorney’s Office says Andrews reported AHC had 957 employees and requested a credit through a Form 7200 got $3,086,325.
On April 11, 2020, she also filed a quarterly Form 941 reporting AHC paid $1,435, 500 in wages, tips and other compensation and requested a refund for $25,978.83. AHC did not have any employees nor did the company compensate anyone in wages.
The IRS processed the form and sent a check to AHC at a UPS mailbox in Macon that her father set up. The U.S. Attorney’s Office says video surveillance video showed her father picking up the check on Dec. 8, 2020. The check was never deposited and was later found in Andrew’s bedroom during a search.
As part of Andrew’s plea deal, she agreed to pay restitution for all the tax refunds she received listed in the indictment totaling $331,758.