The U.S. Justice Department filed a lawsuit yesterday, aiming to permanently prevent Juan Humberto Garcia, his son-in-law Marcos Yariel Figueroa, and their business, Tax Master of BVL Inc., from preparing federal tax returns.
The complaint was filed in federal court in Orlando, Florida.
The lawsuit claims that Garcia and Figueroa were involved in preparing false federal tax returns that significantly reduced their clients’ tax liabilities.
This was allegedly done by inflating or fabricating itemized deductions and business expenses.
The complaint further states that Tax Master’s clients were interviewed by the IRS and revealed that they had not made the business-related expenses, charitable donations, or medical expenditures listed on their tax returns.
The Impact on Tax Revenue
According to the Justice Department, the actions of Garcia, Figueroa, and Tax Master led to substantial losses in tax revenue for the United States.
The complaint seeks a permanent injunction against them and demands that they repay any earnings made from preparing fraudulent tax returns.
IRS’s Ongoing Efforts to Combat Tax Preparer Fraud
The IRS considers return preparer fraud as one of its “Dirty Dozen” tax scams, and the department is urging taxpayers to be cautious when selecting a tax preparer.
To help individuals make informed decisions, the IRS provides resources on choosing reliable preparers, including a free directory of federal tax preparers and a guide on avoiding “ghost” preparers—those who refuse to sign returns, which is a major red flag.
Additionally, the IRS has a checklist of things to remember when filing taxes for 2025 and offers free online filing through the IRS Free File program.
This program allows individuals earning less than $84,000 to access free online tax preparation tools and file their returns at no cost.
The Justice Department’s Track Record
Over the past decade, the Tax Division of the Justice Department has successfully secured injunctions against numerous fraudulent tax preparers.
For more information about these cases, the Justice Department provides updates on their website, including a list of individuals and businesses prohibited from preparing tax returns or promoting tax schemes.
If anyone suspects that an enjoined individual or business is violating an injunction, they are encouraged to report it to the Tax Division.
Protecting Yourself When Filing Taxes
With the IRS offering various resources, taxpayers are encouraged to remain vigilant and use available tools to ensure their tax returns are filed correctly and honestly.