A 61-year-old Merrillville woman pleaded guilty in U.S. District Court Tuesday over allegations she shortchanged the federal government on behalf of her tax customers.
The case against Gwendolyn Randall involves one count of aiding or assisting in preparation of a false tax return, court records stated. Represented by attorney Scott King, Randall pleaded guilty to the charge and remained free on a $20,000 bond.
Randall was previously employed at Quick Sam, a tax preparation business in Gary, the plea agreement said.
As part of preparing false tax returns, Randall claimed false Schedule C self-employment income for taxpayers, the federal government alleged. This, prosecutors claimed, resulted in taxpayers qualifying for the Earned Income Tax Credit, which ultimately qualified them for tax refunds to which they were not entitled.
Randall’s wrongdoing included falsifying Schedule A, including claiming false charitable contributions and false medical expenses, which lowered the customer’s tax liability, according to court documents.
Randall faces up to three years in prison and a $100,000 fine, court records stated. Factoring into her guilty plea, the federal government agreed to a loss amount not to exceed $40,000. Sentencing is Sept. 16 before U.S. District Court Judge Rudy Lozano.
Jim Masters is a freelance reporter for the Post-Tribune.