Illinois Man Pleads Guilty to Preparing False Tax Returns

An Illinois man pleaded guilty yesterday to preparing false income tax returns for clients.

According to court documents and statements made in court, Gary Sandiego, of Barrington, owned and operated G. Sandiego and Associates, a tax preparation business. For tax years 2014 through 2017, he prepared and filed false income tax returns for his clients. Instead of relying on information provided by the clients, Sandiego either inflated or entirely fabricated expenses to falsely claim on the returns Residential Energy Credits and employment-related expense deductions. As a result, Sandiego caused a tax loss to the IRS of approximately $4,586,154.

Sandiego is scheduled to be sentenced on Aug. 14. He faces a maximum penalty of three years in prison for each count. Sandiego also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement.

IRS Criminal Investigation is investigating the case.

Assistant Chief Andrew Kameros and Trial Attorney Sara Henderson of the Tax Division are prosecuting the case.