Not2Taxing, Inc.

Press Release
Minnesota Tax Preparer Convicted of Preparing $1M+ in False Tax Returns for Clients
Friday, June 26, 2026
For Immediate Release
Office of Public Affairs

A federal jury convicted a Minnesota man yesterday for filing false tax returns for clients of his tax preparation business.

According to court documents and evidence presented at trial, Cortez Hollis owned and operated Hollis Tax Time, a Minnesota tax preparation business that he used to prepare false tax returns for clients. Hollis told his clients he was able to provide them tax credits that other tax preparers did not know about. In reality, he reported fictitious businesses that claimed thousands of dollars of business losses the clients did not actually incur. Hollis filed these tax returns with the IRS and generated large refunds the clients were not entitled to receive. He often paid himself tax preparation fees of $2,000 or more out of the resulting refunds, sometimes without his clients’ knowledge.

“No matter the scheme, the agency, or the program involved, those who cheat on their taxes for personal enrichment undermine the very foundation of public trust,” said Assistant Attorney General Colin M. McDonald of the Justice Department’s National Fraud Enforcement Division. “The Fraud Division is working across all fronts to detect, investigate, and prosecute criminal tax violations. We will protect the integrity of our tax system and ensure that those who seek to enrich themselves at the expense of honest citizens face the full weight of federal prosecution.”

At trial, the government established that Hollis added more than $1 million in fraudulent losses to client tax returns and sought approximately $387,000 in refunds they were not entitled to receive.

Hollis was found guilty of 20 counts of aiding or assisting the preparation of false tax returns. Sentencing will be scheduled at a later date. Hollis faces a maximum penalty of three years in prison for each count of aiding and assisting in the preparation of a false tax return. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division and U.S. Attorney Daniel Rosen for the District of Minnesota made the announcement.

IRS Criminal Investigation is investigating the case.

Assistant Chief Eric B. Powers and Trial Attorney Megan E. Wessel of the Criminal Division’s Tax Section are prosecuting the case.

On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division ('Fraud Division'). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Updated June 26, 2026

Bridal Shop Owner Sentenced to Prison for Willfully Failing to Pay More Than $1.3M in Employment Taxes
Monday, June 15, 2026
For Immediate Release
Office of Public Affairs

A Parker woman was sentenced today to 12 months and one day in prison for willfully failing to pay over employment taxes on behalf of the bridal shop company she owned and operated for more than a decade.

According to court documents and statements made in court, Donna M. Savoy owned and operated Donna Beth Creations, a bridal studio in Denver, Colorado. As the owner of the company, Savoy was responsible for withholding Social Security, Medicare and income taxes from her employees’ wages, paying those funds over to the IRS and filing quarterly employment tax returns with the IRS.

For more than a decade – that is, from the first quarter of 2014 through the fourth quarter of 2024 – Savoy admitted that she withheld taxes from her employees’ wages but willfully failed to pay them over to the IRS. Savoy also willfully failed to file employment tax returns for that entire period. Savoy spent the tax money she withheld from her employees on personal and business expenses. In total, Savoy caused a tax loss to the United States exceeding $1.3 million.

Savoy pleaded guilty to one count of willful failure to account for and pay over trust fund taxes.

Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division made the announcement.

IRS Criminal Investigation investigated the case.

Trial Attorney Stuart A. Wexler of the Criminal Division’s Tax Section prosecuted the case.

On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Updated June 15, 2026
Component
Criminal Division
Press Release Number: 26-656

Got mail from the IRS? Don’t toss it

Some taxpayers may get mail from the IRS. It’s important that they open any mail they receive and read it carefully.

Most letters or notices are about federal tax returns or tax accounts. Each notice will outline the specific issue and include steps the taxpayer needs to take. A notice may reference changes to a taxpayer's account, taxes owed, a payment request or a specific issue on a tax return or credit.

Review the information. If the mail is about a changed or corrected tax return, the taxpayer should review the information and compare it with the original return. If the taxpayer agrees, they should make notes about the corrections on their personal copy of the tax return and keep it for their records. Typically, a taxpayer will need to act only if they don't agree with the information, if the IRS asked for more information or if there’s a balance due.

Take any requested action. This may include making a payment. The IRS and authorized private debt collection agencies do send letters by mail. Taxpayers can also view digital copies of select IRS notices by logging into their IRS Online Account. The IRS offers several options to help taxpayers struggling to pay a tax bill. Taking prompt action could minimize additional interest and penalty charges.

Reply only if needed. Taxpayers don't need to reply to a notice unless specifically told to do so. If a taxpayer needs to call the IRS, they should use the number in the upper right-hand corner of the notice and have a copy of their tax return and letter.

Let the IRS know of a disputed notice. If a taxpayer doesn't agree with the IRS, they should follow the instructions in the notice to dispute what the notice says. The taxpayer should include information and documents for the IRS to review when considering the dispute.

Keep the letter or notice for their records. Taxpayers should keep notices or letters they receive from the IRS for three years from the date the tax return was filed. These include adjustment notices.

Watch for scams.
The IRS will never contact a taxpayer using social media. The first contact from the IRS usually comes in the mail.

If you are one of our clients, please be sure to send us a copy of any IRS correspondence. We are here to help you

Be informed, not fooled by ghost preparers and tax credit scams

The tax filing season is coming to an end in a couple of weeks, but that doesn’t mean scammers and schemers take a break. Here’s a couple more things from the recently released Dirty Dozen, that taxpayers should be mindful of.

Ghost preparers
Taxpayers should choose their tax professional wisely. Paid preparers must sign and include a valid Preparer Tax Identification Number on every tax return. A “ghost” preparer prepares a return but refuses to sign it and/or refuses to include a PTIN. These unlicensed or unethical tax return preparers should be avoided. When a preparer refuses to sign or provide a PTIN, that is a major red flag; the taxpayer is legally responsible for what is filed. Taxpayers should never sign a blank or incomplete return.

Ghost preparers also often exploit credits by promising large refunds. These preparers may:

Exaggerate eligibility for deductions
Claim credits that taxpayers do not qualify for
Disappear after filing, leaving the taxpayer responsible for penalties, interest, or audits
People can make a complaint about a tax return preparer, if a paid preparer filed a fraudulent return, without consent or if they followed improper tax preparation practices.

Phony “Self-Employment Tax Credit”
Another one from the Dirty Dozen is misleading information being shared about a “self-employment tax credit,” which can result in an inaccurate filing. Many taxpayers do not qualify for these credits, and the IRS is closely reviewing claims coming in under this provision, so taxpayers filing claims do so at their own risk. Be informed about any tax credits and eligibility requirements before claiming them. The IRS Interactive Tax Assistant can help a person decide if they're eligible for many popular tax credits and deductions.

Taxpayers are reminded to rely on trusted sources and qualified tax professionals, not bad tax advice on social media. People can confidentially report suspected tax fraud, scams, identity theft, or other tax-related wrongdoing at IRS.gov/submitatip.

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