Former Bank Branch Manager Pleads Guilty to Embezzlement, False Tax Return. This case was investigated by IRS-Criminal Investigation and the FBI and this is what they discovered!
SPRINGFIELD, Mo. – The former branch manager of a Mountain Grove, Mo., bank pleaded guilty in federal court today to embezzling approximately $140,000 from the bank and failing to pay taxes on that income.
A 46 year old Mount Grove resident, pleaded guilty to one count of making a false entry in banking documents and one count of filing a false federal income tax return.
She was employed by First Home Savings Bank (FHSB) for approximately 15 years, first as a bookkeeper and eventually as branch manager at FHSB in Mountain Grove.
By pleading guilty today, She admitted that she used her position to make unauthorized payments to herself from bank funds from 2008 to 2012. She secretly took money from the bank vault and concealed her theft by making false entries in FHSB’s books, reports and the electronic journal detail report. She embezzled at least $139,999 from FHSB, which she deposited into her personal checking accounts.
When she filed her federal income tax returns, she excluded her embezzlement income and thus under reported her income by $205,325 (of which at least $139,999 was embezzled from FHSB; the rest came from unidentified sources). This under reported income, along with additional unreported deposits, resulted in a total tax due and owing from 2008 through 2012 of $53,155.
Under the terms of today’s plea agreement, She will be held accountable for her entire tax loss – which consists of the $53,155 tax due and owed for the tax years 2008 through 2012, plus any fees, penalties and restitution owed to the Internal Revenue Service and/or FHSB. The total amount of restitution owed to FHSB is $148,851 (which includes the embezzled amount plus expenses incurred by the bank as a result of her theft).
Under federal statutes, She is subject to a sentence of up to 33 years in federal prison without parole, plus a fine up to $1,250,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
The premium tax credit is a refundable credit that helps eligible individuals and families with low or moderate income afford health insurance purchased through a Health Insurance Marketplace. To get this credit, you must meet certain eligibility requirements and file a tax return.
Here are Top 5 questions we are hearing from taxpayers, along with answers:
1. What is included in household income?
For purposes of the PTC, household income is the modified adjusted gross income of you and your spouse if filing a joint return, plus the modified AGI of each individual in your tax family whom you claim as a dependent and who is required to file a tax return because their income meets the income tax return filing threshold. Household income does not include the modified AGI of those individuals you claim as dependents and who are filing a return only to claim a refund of withheld income tax or estimated tax.
2. The IRS is asking to see my 1095-A. What should I do?
You should follow the instructions on the correspondence that you received from the IRS. You may be asked for a copy of Form 1095-A in order to verify information that has been entered on your tax return.
3. If I got advance payments of the PTC, do I have to file even if I never had a filing requirement before?
Yes. If you received the benefit of advance payments of the premium tax credit, you must file a tax return to reconcile the amount of advance credit payments made on your behalf with the amount of your actual premium tax credit. You must file a return for this purpose even if you are otherwise not required to file a return.
4. Marketplace says I did not file, but I did file before the extended due date. What should I do?
In advance of the open enrollment period that runs through January 31, 2016, the Marketplace sent Marketplace Open Enrollment and Annual Redetermination letters to individuals who might not have filed a tax return. Follow the instructions in the letter you received.
5. What are my options to receive help with filing a return and reconciling?
Spencer Accounting Group, Limited Liability Co., will File your return electronically, this is the best way to file a complete and accurate tax return.
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Keana Spencer is an Accountant, Entrepreneur, and Educator to her clients, with a strong passion. Keana has over 10 years of experience and through her practice, she is a source of knowledge and strategies to her clients.