MINNEAPOLIS, MN – October 15, 2026 (STL.News) A Minneapolis-area father and son have pleaded guilty to participating in a federal tax fraud conspiracy involving at least 300 fraudulent income tax returns and more than $9.2 million in claimed refunds, according to the U.S. Department of Justice.
The guilty pleas mark another significant development in the federal government’s expanding efforts to combat fraudulent tax refund schemes, including those involving tax credits originally established to provide financial relief during the COVID-19 pandemic.
Federal prosecutors identified the defendants as LaMar Javis Burgess, 44, and his son, LaMar Dazjar Burgess, 24, both from the Minneapolis area.
The father pleaded guilty on October 9, 2026, while his son entered his guilty plea on October 1, 2026. Both admitted participating in a conspiracy to defraud the United States.
The elder Burgess also pleaded guilty to a separate federal firearm offense after investigators discovered a handgun during a search of his residence.
The Justice Department announced the guilty pleas on October 14 as part of a broader national tax fraud enforcement initiative involving dozens of defendants and hundreds of millions of dollars in alleged and proven fraudulent activity.
Father and Son Operated Tax Fraud Scheme for More Than Two Years
Federal prosecutors say the conspiracy operated between June 2022 and October 2024.
During that period, the defendants prepared and submitted fraudulent federal income tax returns for themselves and others, claiming refunds the taxpayers were not legally entitled to.
The scheme relied heavily on false claims involving refundable federal tax credits.
The scheme exploited sick and family leave credits available to certain self-employed individuals who were unable to work because of circumstances associated with COVID-19.
These credits were designed to provide legitimate financial assistance to qualifying taxpayers during the pandemic.
However, prosecutors said the Burgesses submitted returns containing fabricated information to obtain refunds for which the taxpayers did not qualify.
The defendants also prepared fraudulent 2022 income tax returns claiming additional refundable tax credits.
Federal authorities determined that the conspiracy involved at least 300 false federal income tax returns seeking a combined minimum of $9.2 million in refunds.
That figure represents the fraudulent refunds claimed, not necessarily what the Internal Revenue Service actually paid.
The Justice Department’s announcement did not establish the total amount successfully disbursed to participants or the government’s final recoverable losses.
Prosecutors Describe $10,000 Fee for Fraudulent Returns
Federal investigators found evidence that the elder Burgess actively researched ways to prepare fraudulent income tax returns.
According to the Justice Department, he obtained instructional videos and written materials explaining how to submit false returns, including a guide titled “TurboTax Sauce The ‘Self-Employed’ Way.”
Authorities said he later worked with his son and others to promote the scheme and recruit participants.
The elder Burgess charged taxpayers a $10,000 fee to prepare fraudulent returns, paid from a portion of the refunds.
The arrangement provided a financial incentive to recruit additional individuals and prepare more returns.
Prosecutors said the defendants collected personal and financial information from participants, including names, residential addresses, Social Security numbers, photographic identification, and banking details.
They used that information to prepare and electronically submit tax returns containing employment information and credit claims the defendants knew were false.
The involvement of other taxpayers also illustrates how fraudulent refund operations can extend beyond a single individual filing an inaccurate return.
In this case, prosecutors described an organized conspiracy involving recruitment, collecting personal information, preparing false documents, and paying compensation to arrange the filings.
The Justice Department has not publicly stated in its October 14 announcement how many participating taxpayers knowingly participated in the fraud or whether it will charge additional individuals.
COVID-19 Tax Credits Were Central to the Fraud
The case highlights the continuing legal consequences of abusing pandemic-era federal tax relief programs.
During the COVID-19 emergency, Congress authorized several temporary tax benefits intended to assist workers, employers and self-employed individuals experiencing qualifying disruptions.
Among those benefits were refundable sick and family leave credits available under specific statutory conditions.
Unlike ordinary deductions, refundable credits can generate a payment to an eligible taxpayer even when the credit exceeds the taxpayer’s income tax liability.
That feature makes refundable credits particularly attractive targets for fraudulent claims.
A legitimate taxpayer must satisfy the applicable eligibility requirements and accurately report the information supporting a credit.
Submitting fabricated income figures, employment information, or qualifying circumstances to obtain a refund can expose a taxpayer or tax preparer to civil penalties and criminal prosecution.
In the Minneapolis conspiracy, prosecutors said the defendants exploited these provisions by preparing returns claiming benefits to which the taxpayers were not entitled.
The broader national enforcement announcement also described fraudulent claims involving fuel tax credits and false withholding information in the Burgess case.
Although pandemic-related tax relief programs have largely expired, federal investigators continue examining returns filed during the periods when those benefits were available.
The Minneapolis guilty pleas show that criminal investigations into pandemic-era tax claims can continue years after the original returns were filed.
Federal Search Uncovers Firearm at Father’s Residence
The investigation also resulted in a separate federal firearm conviction involving LaMar Javis Burgess.
According to the Justice Department, federal investigators executed a search warrant at his residence in Golden Valley, Minnesota.
During the search, authorities discovered a Glock Model 19, 9 mm semiautomatic handgun.
The weapon contained a loaded 15-round magazine.
Investigators also located an empty magazine, an extended high-capacity magazine, a high-capacity drum magazine, and additional loose ammunition.
Federal officials reported that the handgun had been identified as stolen.
Because the elder Burgess had prior felony convictions, federal law prohibited him from possessing firearms or ammunition.
He subsequently pleaded guilty to being a felon in possession of a firearm.
The firearm offense is separate from the tax fraud conspiracy and carries its own potential federal prison sentence.
The Justice Department did not identify the earlier felony convictions or provide additional information about the circumstances under which the handgun had been reported stolen.
Both Defendants Face Potential Federal Prison Sentences
The father and son are awaiting sentencing in federal court.
LaMar Javis Burgess faces a maximum statutory penalty of 10 years in prison for conspiracy to defraud the United States.
He also faces a maximum of 15 years in prison for the separate firearm conviction.
His son, LaMar Dazjar Burgess, faces a maximum statutory penalty of 10 years in prison for the conspiracy offense.
Both defendants may also face supervised release, restitution, and monetary penalties.
The statutory maximum penalties do not necessarily represent the sentences either defendant will receive.
A federal district judge will determine the appropriate punishment after considering the applicable U.S. Sentencing Guidelines, the defendants’ individual circumstances and other statutory sentencing factors.
The Justice Department had not announced sentencing dates in its October 14 release.
The amount of restitution ultimately ordered will depend on the court’s findings and applicable federal law.
Minneapolis Case Part of $490 Million National Tax Enforcement Surge
The guilty pleas were announced alongside a much larger federal enforcement initiative targeting tax fraud across the United States.
According to the Justice Department, its first National Tax Enforcement Surge involved coordinated action by the National Fraud Enforcement Division’s Tax Section and U.S. attorneys’ offices across the country.
The initiative operated from early September through October 14, 2026.
Federal authorities reported prosecutorial actions involving 76 defendants whose alleged and proven crimes represented more than $490 million in estimated intended federal revenue losses.
The nationwide total includes cases at different stages of the criminal justice process, including allegations against defendants who have not been convicted.
Consequently, the $490 million figure should not be interpreted as an amount already stolen, recovered, or established through final court judgments.
The enforcement effort reflects increased coordination between federal prosecutors, the Internal Revenue Service and IRS Criminal Investigation.
The Minneapolis case was among the prosecutions highlighted in the national announcement.
The Justice Department’s broader summary identified the Burgess conspiracy as involving false claims based primarily on pandemic-related sick and family leave credits, fuel tax credits and false tax withholdings.
The department reported that 35 U.S. attorneys’ offices participated in the national enforcement initiative.
Federal Officials Emphasize Taxpayer Protection
U.S. Attorney Daniel N. Rosen for the District of Minnesota said the prosecution reflects his office’s commitment to pursuing individuals who fraudulently obtain public funds.
Rosen said federal investigators and prosecutors would continue targeting people who seek financial benefits they are not entitled to.
IRS Criminal Investigation officials also highlighted the importance of protecting the integrity of the federal tax system.
Marta C. Grijalva, acting special agent in charge of IRS Criminal Investigation’s Chicago Field Office, said the defendants went beyond submitting fraudulent returns by recruiting participants and helping others engage in the scheme.
Her comments underscored the government’s concern about operations that actively promote fraudulent tax filings rather than isolated incidents involving individual taxpayers.
The financial consequences of tax refund fraud can extend beyond the immediate loss of government revenue.
Fraudulent claims can divert public funds, increase enforcement costs, and create additional administrative burdens for the IRS.
Such schemes can also expose participating taxpayers to financial liabilities, particularly when refunds are later determined to have been improperly obtained.
The government may seek repayment of fraudulent refunds, along with applicable penalties and interest, depending on the circumstances of each case.
Multiple Federal and Local Agencies Participated
IRS Criminal Investigation conducted the investigation with assistance from several federal and local law enforcement agencies.
Those agencies included the Federal Bureau of Investigation, Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Local and regional partners included the Minneapolis Police Department, Fridley Police Department, Ramsey County Sheriff’s Office and Hennepin County Sheriff’s Office.
Trial Attorney J. Parker Gochenour of the National Fraud Enforcement Division’s Tax Section and Assistant U.S. Attorney Rebecca Kline of the District of Minnesota are handling the prosecution.
Assistant Attorney General Colin M. McDonald and U.S. Attorney Rosen announced the federal case.
The involvement of multiple agencies reflects the combination of financial fraud and firearm violations uncovered during the investigation.
Tax Fraud Investigations Continue Nationwide
The Minneapolis prosecution illustrates the ongoing federal effort to identify organized tax-refund schemes and hold participants accountable.
While the immediate case concerns two defendants, prosecutors say the conduct involved hundreds of returns and the collection of sensitive financial information from numerous individuals.
The conspiracy also demonstrates how refundable tax credits can be misused when individuals deliberately falsify eligibility information.
Federal investigators continue using financial records, tax filings, and other evidence to identify fraudulent claims and determine who organized or benefited from illegal refund operations.
For taxpayers, the case reinforces the importance of ensuring that information submitted to the IRS is accurate, particularly when using a third party to prepare a return.
An unusually large promised refund, a preparer demanding a substantial share of the refund, or a request to claim credits without supporting eligibility can be warning signs of potential fraud.
Taxpayers remain responsible for the accuracy of returns filed under their names, even when another person prepares the documents.
The guilty pleas also underscore the distinction between the amount of refunds claimed and the government’s actual financial losses.
Although prosecutors identified at least $9.2 million in fraudulent refund claims, the Justice Department’s announcement did not specify the final amount paid or recovered.
For LaMar Javis Burgess and LaMar Dazjar Burgess, the next major step will be sentencing.
Both have admitted participating in the conspiracy, while the elder Burgess has also admitted the separate firearm offense.
The federal court will determine their sentences.
The case remains part of a nationwide enforcement campaign in which federal officials say they are pursuing tax fraud involving hundreds of millions of dollars in intended government losses.
Featured articles:
