Tax preparer accused of preparing false documents

NEW ORLEANS (AP) - A 41-year-old Paulina woman has been charged in a two-count bill of information with preparing and filing false income tax returns for her customers.

U.S. Attorney Jim Letten says Laura A. Diggs faces one count of false statements on tax returns and one count of assisting in the preparation of false tax documents.

Letten said Friday that Diggs, through her business, Diggs Tax Service in Luling, prepared false returns resulting in inflated refunds to which her customers were not entitled. Additionally, from 2007 to 2009, she allegedly signed her own taxes that falsely underreported her income. In total, Diggs failed to report about $766,761.

If convicted on either count, Diggs faces up to three years in prison and a $250,000 fine.

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