LAS VEGAS (FOX5) — A Las Vegas businesswoman was sentenced to 18 months in federal prison after prosecutors said she helped fuel a COVID-era tax credit scheme that led to more than $7 million in improper refunds from the U.S. government.
Adonia Stiles, described in court records as a real estate agent and tax preparer who also owned a clothing store, admitted to conspiring with others to file false employment tax returns seeking pandemic-related credits. Those credits included the employee retention credit and sick and family leave credit, programs created by Congress to help businesses keep workers on payroll during the COVID-19 crisis.
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Prosecutors said Stiles had a co-conspirator file 11 fraudulent returns tied to her clothing store that sought more than $800,000. They also said she sent additional clients into the operation, which expanded the number of false filings and ultimately produced refunds totaling more than $7 million.
Authorities said Stiles received at least $135,000 for referrals and failed to report that income on her personal tax returns.
U.S. District Judge Jennifer A. Dorsey also ordered Stiles to serve two years of supervised release and to pay $7,079,121.48 in restitution, according to the Justice Department. A co-defendant, Candies Goode-McCoy, was previously sentenced to prison in connection with the case.
The investigation involved IRS Criminal Investigation and the Treasury Inspector General for Tax Administration, the Department of Justice said.
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