DOJ moves to shut down Miami tax preparer accused of fraudulent schemes

FLORIDA — The US Department of Justice (DOJ) is taking legal action to shut down a Miami tax return preparer.

The DOJ’s Tax Division filed a civil injunction suit on Thursday to permanently bar Nia Daniel and her tax return preparation business, Nia Help Service LLC, from preparing federal income tax returns for others.

The complaint, filed in the U.S. District Court for the Southern District of Florida, alleges that Ms Daniel prepared over 2,000 federal income tax returns from 2020 through 2024 and employed various schemes to understate her customers’ tax liabilities and overstate the refunds to which they were entitled.

The complaint alleges that Daniel created false businesses on customers’ returns, knowingly reported fake or inflated business expenses, and fraudulently claimed various credits, such as the Work Opportunity Tax Credit, American Opportunity Credit, and Residential Energy Credit, usually without customers’ knowledge.

The complaint claims that Ms Daniels falsified customers’ income and filing statuses to increase the amount of the Earned Income Tax Credit.

According to the complaint, Daniel’s actions have harmed the United States and caused a significant loss in tax revenue of more than $500,000 in 2023 alone.

In addition to seeking an injunction, the government requests an order of disgorgement to prevent Ms Daniel and her business from profiting from their violation of Internal Revenue laws.

Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.