Jeffrey M. Anderson, Acting United States Attorney for the Western District of Wisconsin, announced that Juan Tamez Diaz, 41, Madison, Wis., was sentenced yesterday by U.S. District Judge James Peterson to four years in federal prison for tax fraud and identify theft. Tamez Diaz pleaded guilty to these charges on December 22, 2016.
From January 2009 to May 2015, Tamez Diaz obtained the names, Social Security numbers, and Individual Taxpayer Identification Numbers of various individuals. He also obtained employer information from six legitimate companies, and then used this information to create fictitious Forms W-2 in the names of individuals not actually employed by these companies. Tamez Diaz used the information and the fictitious Forms W-2 to prepare and file false federal income tax returns requesting tax refunds in the names of the individuals. Tamez Diaz filed approximately 130 false income tax returns with the IRS, seeking fraudulent refunds totaling approximately $588,000, and was paid $462,038.50 in refunds.
In sentencing Tamez Diaz, Judge Peterson noted that the defendant’s crimes took place over a long period of time and involved numerous victims. He further noted that victims of identity theft are often terrorized by the crime. Judge Peterson did not believe the defendant’s claim that he was a minor player in the criminal scheme.
The charges against Juan Tamez Diaz were the result of an investigation conducted by IRS Criminal Investigation. The prosecution of the case has been handled by Assistant U.S. Attorney Elizabeth Altman.