Latasha Clarion Williamson admitted in federal court to operating a multi-year tax refund scheme that involved using fictitious employers and fraudulent W-2 forms, which prosecutors said resulted in millions of dollars in improper refunds for her and at least one associate. Williamson pleaded guilty Thursday in Sacramento to filing false tax returns after authorities said she used fabricated employers and falsified wage records to obtain federal tax refunds.
The Sacramento Bee reported that Williamson acknowledged in her plea agreement that she filed nearly $6 million in fraudulent tax returns for herself and submitted additional false claims for an associate. She provided W-2 forms listing employer identification numbers while using her own address and phone number as the employer contact. Some of the returns listed non-existent businesses, while others falsely claimed employment at actual companies, including Epic Games and Walmart.
How prosecutors say the scheme worked
Federal authorities say refund-fraud schemes like this typically involve false wage statements, fabricated or misused Social Security numbers, and fake employer information used to inflate withholdings and obtain larger refunds.
This pattern is consistent with other cases in the region. The U.S. Attorney’s office has previously prosecuted similar schemes involving fabricated W-2 forms and sham employers. Investigators in these cases often collaborate with IRS Criminal Investigation to trace the fraudulent activity.
Plea, penalties and what comes next
According to the plea documents reported by The Sacramento Bee, Williamson pleaded guilty to four counts of filing false tax returns. Prosecutors stated that approximately $1.5 million in improper refunds went directly to her and an associate, while total losses from the scheme exceeded $8 million…