An Augusta woman has pleaded guilty to running a “ghost” tax preparation business out of her home.

Kim Brown, 40, faces up to three years in prison on each of two counts of aiding and assisting in the preparation and filing of false tax returns, a period of supervised release after serving her sentence, and monetary penalties.

According to a plea agreement entered Tuesday in U.S. District Court for the Southern District of Georgia, Brown failed to comply with IRS requirements by failing to identify herself as a paid preparer on the tax returns she filed on behalf of her clients.

She also fabricated income to qualify her clients for tax credits, claimed fake deductions to boost the size of the refund, and charged clients a fee based on a percentage of the refund.

In all, Brown prepared 22 false tax returns that cost the U.S. Treasury Department $541,912 in false refunds.

The case was investigated by the IRS’ Criminal Investigation Division and prosecuted by Assistant U.S. Attorney George J.C. Jacobs III.

How to Read and Understand the News

Truth doesn’t bend because we dislike it.
Facts don’t vanish when they make us uncomfortable.
Events happen whether we accept them or not.

Good reporting challenges us. The press isn’t choosing sides — it’s relaying what official, verified sources say. Blaming reporters for bad news is like blaming a thermometer for a fever.

Americans have a history of misunderstanding simple things. In the 1980s, A&W rolled out a 1/3-pound burger to compete with McDonald’s Quarter Pounder. It failed because too many people thought 1/3 was smaller than 1/4. If we can botch basic math, we can certainly misread the news.

Before dismissing a story, ask yourself:

  • What evidence backs this?
  • Am I reacting to facts or feelings?
  • What would change my mind?
  • Am I just shooting the messenger?

And one more: Am I assuming bias just because I don’t like the story?

Smart news consumers seek truth, not comfort.

Dave Williams | Capitol Beat News Service

Dave Williams is the Bureau Chief for Capitol Beat News Service. He is a veteran reporter who has reported on Georgia state government and politics since 1999. Before that, he covered Georgia’s congressional delegation in Washington, D.C.