Maricopa Tax Preparer to Pay Nearly $12,000 in Restitution and Fines for Fabricating Tax Returns

Ordered to not prepare taxes for compensation going forward

MARICOPA - Michelle Schaefer, a tax preparer and the owner of MM Tax Solutions based in the City of Maricopa was ordered to pay nearly $12,000 in restitution and fines for preparing fictitious W-2's with fabricated Arizona income tax withholdings for tax year 2018. Schaefer is alleged to have done so in order to increase tax refunds for herself and three clients. As part of her agreement with the State, Schaefer will pay the Arizona Department of Revenue $2,965 in restitution and will pay a fine totaling $8,900. Additionally, the Court sentenced Schaefer to two years of supervised probation and ordered Schaefer to not prepare taxes for compensation going forward. 
 
On December 13, 2021, Michelle Schaefer pleaded guilty to one count of Preparing False Return, as amended to a class 6 undesignated felony, in violation of A.R.S. § 42-1127(B)(2), for preparing a false tax return that was submitted to the Arizona Department of Revenue on or about April 24, 2019. Schaefer was indicted in December 2020.

The Arizona Department of Revenue’s Criminal Investigation Unit investigated the case with assistance from the Arizona Attorney General’s Office.

Assistant Attorney General Carmine Mediate prosecuted the case.

A copy of the Indictment is available here.

A copy of the Plea Agreement is available here.