Mo' Money Taxes customers could face IRS audits - WMC Action News 5 - Memphis, Tennessee

Mo' Money Taxes customers could face IRS audits

Mo' Money Taxes is under investigation, accused of not providing tax refunds, to bouncing checks and taking fees from customers' accounts without their permission. Now those same customers could be audited or forced to return their refund. Mo' Money Taxes is under investigation, accused of not providing tax refunds, to bouncing checks and taking fees from customers' accounts without their permission. Now those same customers could be audited or forced to return their refund.

(WMC-TV) – Mo' Money Taxes is under investigation, accused of not providing tax refunds, to bouncing checks and taking fees from customers' accounts without their permission. Now those same customers could be audited or forced to return their refund.

A lawsuit filed by the Illinois Attorney General's Office seeks to shut down Mo' Money locations in the Chicago area and East St. Louis and refund customers at least $800,000 in estimated losses.

While this tax season has been rough for Mo' Money customers, they could soon face another hurdle - an audit.

"We've seen a lot of complaints coming in over the last couple weeks with folks having financial difficulties," said Natalie Bauer, the Illinois Attorney General's Office spokesperson.

Illinois Attorney General Lisa Madigan filed suit against Mo' Money, alleging they filed unauthorized federal income tax returns and charged "undisclosed and exorbitant fees for tax preparation services."

"Essentially, without customer's permission the company went ahead and filed annual tax returns that were riddled with errors and they were charged huge fees," Bauer said. "And to top it all off, worst of all, the company failed to provide customers with their promised refund checks."

In a release announcing the suit, the attorney general said "Memphis based Mo' Money advertised it's tax refund anticipation programs primarily to low- income taxpayers as away to receive and spend refunds instantly."

Bauer said they have issued a warning to Mo' Money customers.

"If they've received a refund from Mo' Money they should not cash or deposit that check," she said. "Again, they should contact the IRS directly."

Taxpayers who have already cashed or deposited a refund check from Mo' Money may also be subject to an IRS audit and required to return their refund.

"We're filing the lawsuit on behalf of customers that have experienced difficulties with the company and so we're hoping to hold them accountable from our end," she said.

Consumers who had tax returns processed by Mo' Money are asked to contact the Internal Revenue Service at 800-829-1040.

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