Iowa father, daughter duo charged for filing hundreds of false tax returns

Thein Maung, 47, and Phyo Mi, 20, have been charged with 60 fraud and tax charges.

According to the indictment, Maung and Mi allegedly conspired to defraud the Internal Revenue Service (IRS) by preparing and filing hundreds of fraudulent tax returns. The duo provided tax preparation services out of their family home in Ottumwa to costumers who were primarily immigrants with little to no ability to read, write, or speak English.

Often times, the duo would include fraudulent items like false claims for residential energy credits, business-expense deductions, or moving-expense deductions, resulting in an increase in the refund the client received, according to the indictment.

In addition, the duo allegedly engaged in wire fraud by directing portions of their customers' refunds into bank accounts that only the duo could access. Maung and Mi attempted to obtain over 140,000 dollars in fraudulent refunds, the indictment said.

According to court records, Maung and Mi filed unemployment insurance benefit applications and claims with the Iowa Workforce Development for some of their customers. Maung and Mi allegedly directed their customers' unemployment payments to be sent to their own bank accounts. They received over 70,000 dollars in fraudulent unemployment benefit payments, court records said.

Maung and Mi have been charged with one count of conspiracy to defraud the United States and 14 counts of wire fraud. Mi is also charged with ten counts of preparing and presenting a false tax return. Maung is also charged with 30 counts of preparing and presenting a false tax return and five counts of willful failure to file a return.