LAKELAND, Fla. — A Lakeland man is facing a federal court order barring him from preparing tax returns after accusations of fraudulent tax practices tied to his Indiana-based tax business.
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According to a civil complaint, Juan Santiago, who resides in Lakeland but travels to Indianapolis for tax season, operated Madison Solutions LLC, a tax preparation business. Last week, the U.S. District Court for the Southern District of Indiana issued a permanent injunction, prohibiting him from preparing tax returns for others or owning any tax preparation businesses.
The court’s order came after Mr Santiago reportedly failed to respond to the complaint filed against him, resulting in a default judgment.
The complaint alleges that Santiago and his company used schemes to reduce clients’ tax liabilities or secure unwarranted tax refunds. Prosecutors claim that Mr Santiago manipulated clients’ tax returns by allegedly misreporting deductions, exemptions, and filing statuses without clients’ knowledge.
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Notably, the complaint accuses him of using false head-of-household statuses and child tax credits and even listing fictitious businesses to minimize taxable income fraudulently.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division announced the court’s decision, highlighting the department’s ongoing efforts to address tax-related fraud.
