Not2Taxing, Inc.

05/14/2026

Press Release
Colorado Business Owner Pleads Guilty to Filing a False Tax Return
Thursday, May 14, 2026
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For Immediate Release
Office of Public Affairs
A Colorado business owner pleaded guilty to filing a false personal tax return with the IRS.

According to court documents and statements made in court, Manuel Rocha, of Aurora, Colorado, owned and operated Rocha’s Drain, a drain installation business, and Rocha’s Liquor, a liquor store, both located in Denver, Colorado. While operating these businesses, Rocha diverted income to additional bank accounts to conceal the true amount of money he earned.

Each year from 2015 through 2022, Rocha provided records and information to his tax preparers that omitted his diverted income. As a result, he underreported the income he and his businesses earned during each of these years. In 2021, for example, Rocha reported that his two businesses earned $57,907 in gross receipts. In reality, the businesses earned approximately $691,650—a difference of more than $600,000.

In total, Rocha caused a tax loss to the United States of approximately $2.2 million.

Rocha is scheduled to be sentenced on August 25 and faces a maximum of three years in prison for filing a false tax return. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division made the announcement.

IRS Criminal Investigation is investigating the case.

Trial Attorneys David F. Scollan and Megan E. Wessel of the Criminal Division’s Tax Section are prosecuting the case.

On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.

Updated May 14, 2026

05/14/2026

Got mail from the IRS? Don’t toss it

Some taxpayers may get mail from the IRS. It’s important that they open any mail they receive and read it carefully.

Most letters or notices are about federal tax returns or tax accounts. Each notice will outline the specific issue and include steps the taxpayer needs to take. A notice may reference changes to a taxpayer's account, taxes owed, a payment request or a specific issue on a tax return or credit.

Review the information. If the mail is about a changed or corrected tax return, the taxpayer should review the information and compare it with the original return. If the taxpayer agrees, they should make notes about the corrections on their personal copy of the tax return and keep it for their records. Typically, a taxpayer will need to act only if they don't agree with the information, if the IRS asked for more information or if there’s a balance due.

Take any requested action. This may include making a payment. The IRS and authorized private debt collection agencies do send letters by mail. Taxpayers can also view digital copies of select IRS notices by logging into their IRS Online Account. The IRS offers several options to help taxpayers struggling to pay a tax bill. Taking prompt action could minimize additional interest and penalty charges.

Reply only if needed. Taxpayers don't need to reply to a notice unless specifically told to do so. If a taxpayer needs to call the IRS, they should use the number in the upper right-hand corner of the notice and have a copy of their tax return and letter.

Let the IRS know of a disputed notice. If a taxpayer doesn't agree with the IRS, they should follow the instructions in the notice to dispute what the notice says. The taxpayer should include information and documents for the IRS to review when considering the dispute.

Keep the letter or notice for their records. Taxpayers should keep notices or letters they receive from the IRS for three years from the date the tax return was filed. These include adjustment notices.

Watch for scams.
The IRS will never contact a taxpayer using social media. The first contact from the IRS usually comes in the mail.

If you are one of our clients, please be sure to send us a copy of any IRS correspondence. We are here to help you

05/11/2026

04/29/2026

Press Release
Justice Department Seeks to Shut Down Florida Return Preparers
Wednesday, April 29, 2026
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For Immediate Release
Office of Public Affairs
The Justice Department has filed a complaint in the U.S. District Court for the Southern District of Florida seeking to enjoin Florida-based return preparers Cedric Reid, Juan Santana, and Reid’s business, Advance Tax Group Inc. (Defendants) from preparing federal income tax returns for others. Defendants’ offices are located in Daytona Beach and Ocala, Florida, the complaint says.

The complaint alleges that Defendants prepare federal income tax returns for customers on which they claim fraudulent deductions and credits, purposely underreporting the tax their customers owe and claiming refunds their customers are not entitled to receive. Specifically, the complaint alleges that Defendants prepared returns that falsified filing status; reported false or inflated business expenses and losses; and claimed false fuel tax credits, education credits, and other credits. According to the complaint, Defendants used the false information they reported to maximize their customers’ earned income tax credit (EITC) and failed to follow the IRS’s EITC due diligence requirements.

The government alleges in the complaint that Defendants caused an estimated tax loss of more than $7 million in 2023 and 2024 alone.

Deputy Assistant Attorney General Joshua Wu of the Civil Division’s Tax Litigation Branch made the announcement. Tax Litigation Branch attorneys Meredith Hollman and Amanda Cornwell are handling the case.

Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers.

In the past decade, the Department of Justice has obtained injunctions 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 Civil Division, Tax Litigation Branch with details.

Updated April 29, 2026

04/01/2026

Be informed, not fooled by ghost preparers and tax credit scams

The tax filing season is coming to an end in a couple of weeks, but that doesn’t mean scammers and schemers take a break. Here’s a couple more things from the recently released Dirty Dozen, that taxpayers should be mindful of.

Ghost preparers
Taxpayers should choose their tax professional wisely. Paid preparers must sign and include a valid Preparer Tax Identification Number on every tax return. A “ghost” preparer prepares a return but refuses to sign it and/or refuses to include a PTIN. These unlicensed or unethical tax return preparers should be avoided. When a preparer refuses to sign or provide a PTIN, that is a major red flag; the taxpayer is legally responsible for what is filed. Taxpayers should never sign a blank or incomplete return.

Ghost preparers also often exploit credits by promising large refunds. These preparers may:

Exaggerate eligibility for deductions
Claim credits that taxpayers do not qualify for
Disappear after filing, leaving the taxpayer responsible for penalties, interest, or audits
People can make a complaint about a tax return preparer, if a paid preparer filed a fraudulent return, without consent or if they followed improper tax preparation practices.

Phony “Self-Employment Tax Credit”
Another one from the Dirty Dozen is misleading information being shared about a “self-employment tax credit,” which can result in an inaccurate filing. Many taxpayers do not qualify for these credits, and the IRS is closely reviewing claims coming in under this provision, so taxpayers filing claims do so at their own risk. Be informed about any tax credits and eligibility requirements before claiming them. The IRS Interactive Tax Assistant can help a person decide if they're eligible for many popular tax credits and deductions.

Taxpayers are reminded to rely on trusted sources and qualified tax professionals, not bad tax advice on social media. People can confidentially report suspected tax fraud, scams, identity theft, or other tax-related wrongdoing at IRS.gov/submitatip.

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03/30/2026

https://www.nbcmiami.com/news/local/miami-man-accused-of-posing-as-cpa-in-500000-fraud-scheme-police-seek-more-victims/3787069/

Police said Francisco Marrero, 78, allegedly created and provided fraudulent vouchers as proof of payment as part of the scheme.

03/26/2026

New Court Ruling: The IRS May Owe You a Refund for 2020–2023 Tax Penalties
Some taxpayers may still be able to claim pandemic-era penalties and interest. But eligibility is limited and timing matters.
A little-known IRS rule and an interesting court case could mean some taxpayers get back penalties and interest they paid during the pandemic years.
Headlines make it sound huge, but the reality is more targeted, not automatic, and in flux at the moment. And, of course, most tax relief comes with deadlines.
So, the question is, are you eligible, and if so, what should you do to claim your money? Here's more of what you need to know.
Could you get a pandemic IRS refund soon?
Let's start with a little background. When COVID hit, the federal government declared a national emergency that ran from January 20, 2020, through May 11, 2023.
During that time, the IRS used its disaster authority under Section 7508A of the U.S. Code to push back various filing and payment deadlines, including due dates for 2019, 2020, and 2021 federal income tax returns.
So what? Well, a recent case in the U.S. Court of Federal Claims, Kwong v. United States, is now testing how those pandemic extensions should be applied.
In that case, the court sided with a taxpayer’s argument that some pandemic-era tax deadlines may have lasted longer than the IRS treated them. That means potentially into mid-2023, including an extra 60 days after the national emergency ended.
If that ruling ultimately holds, it could mean the IRS charged some penalties and interest too early, opening the door for refund claims.
Who might get an IRS pandemic penalty refund
Despite the big numbers being thrown around, not everyone who paid a fee to the IRS during the pandemic would be in line for a refund. The focus is generally on individuals and businesses that:
Filed or paid late during the pandemic period and were charged penalties or interest
Paid common IRS penalties, like late filing, late payment, or underpaying estimated taxes
In some cases, paid additional interest tied to those charges
If you were under an IRS audit, set up a payment plan with the tax agency, or had other collection activity during that period, some of the penalties embedded in those balances could also be in play.
For people with large balances or multiple years at issue, the potential refunds could reportedly be sizable. But keep in mind, this situation is in flux and will ultimately depend on how the litigation plays out.
How the Kwong lawsuit differs from earlier IRS penalty relief
It's important to note that this situation is separate from the automatic penalty relief the IRS already rolled out for certain 2019–2021 returns.
In that earlier program, the IRS waived or refunded specific penalties for eligible taxpayers and issued credits and refunds on its own. (Eligible taxpayers didn't have to file special paperwork.)
IRS pandemic penalty relief deadline
Tax refund claims come with strict time limits, usually based on when a return was filed or when the tax was paid. Because these penalties and interest date back to the pandemic years, some windows on 2020 and 2021 liabilities could start closing as soon as 2026.
As a result, some practitioners are treating mid‑2026 (i.e., July 10, 2026) as a practical "deadline" for many potential claims under this development.
There’s another catch. It wouldn't be surprising if the IRS contests the court’s reading of Section 7508A through an appeal. So, refunds under the Kwong legal theory aren't guaranteed.

03/24/2026

Orlando Man Pleads Guilty to His Role in Years-Long Off-the-Books Payroll Scheme
Monday, March 23, 2026
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For Immediate Release
Office of Public Affairs
A Honduran national pleaded guilty today to conspiring with others as part of a years-long off-the-books payroll scheme that caused more than $38 million in losses to the U.S. government.

According to court documents and statements made in court, Mario Lisandro Flores Moradel operated an illegal, off-the-books cash payroll system for construction workers to avoid paying employment taxes to the IRS and to defraud workers’ compensation insurance companies. Through the scheme, Flores and his co-conspirators also facilitated the employment of illegal aliens impermissibly working in the United States.

From 2015 to 2022, Flores and his co-conspirators used a series of shell companies to run an unlicensed check cashing and cash courier service business. These businesses cashed approximately $89 million in checks from subcontractors in the construction industry, charging them a percentage of the dollar amount of the checks they cashed as a fee for this service. The scheme allowed construction contractors and subcontractors to pay their workers in cash without making required payroll taxes and without regard to whether the workers were legally authorized to work in the United States. Flores and others also caused the filing of false tax documents with the IRS to conceal the scheme. Of the total loss amount, Flores admitted to causing a tax loss to the United States of more than $9.4 million.

Flores pleaded guilty to one count of conspiracy to defraud the United States and one count of conspiracy to operate an unlicensed money transmitting businesses. He is scheduled to be sentenced on June 24. He faces a maximum penalty of five years in prison for each count of conspiracy. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Several of Flores’ co-conspirators previously pleaded guilty for their roles in the scheme. Michael Mayorga and Francisco Alvarez pleaded guilty on May 22, 2025. Iris Villafranca and Osman Zapata pleaded guilty on Oct. 9, 2025.

Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division and U.S. Attorney Gregory W. Kehoe for the Middle District of Florida made the announcement.

IRS Criminal Investigation is investigating the case with assistance from Homeland Security Investigations. ICE ERO Miami (Orlando sub-office), Florida Highway Patrol, U.S. Customs and Border Protection, U.S. Marshals Service, State Department and the Florida Department of Law Enforcement have assisted in arrest operations.

Senior Litigation Counsel Sean Beaty and Trial Attorney Kavitha Bondada of the Criminal Division’s Tax Section and Assistant U.S. Attorney Diane Hu of the Middle District of Florida are prosecuting the case.

Updated March 23, 2026

03/19/2026

February Tax Case of the Month
Coal mining company owner sentenced for evading $22.1M in taxes

For years, West Virginia resident John Quintrell ran his Kentucky coal mining company, Civil LLC, like the rules didn’t apply to him.

From September 2018 to April 2025, Quintrell served as Civil LLC’s sole owner, and each pay day between October 2019 and March 2025, Quintrell’s employees trusted that taxes withheld from their paychecks went where they were supposed to go.

Unfortunately, they didn’t.

Beyond failing to pay his employees’ withheld taxes, Quintrell also failed to pay Civil LLC’s employer share of payroll taxes, causing a loss to the IRS of approximately $22.1 million.

In February, Quintrell was sentenced to four years in prison and three years of supervised release. He was also ordered to pay $22.1 million in restitution.



Each month, IRS-CI selects one criminal case adjudicated during the previous month as the Tax Case of the Month. This month's case was investigated by the IRS-CI Detroit Field Office