Article Pandemic Fraudsters Tax Pros (2025-07-07)

Summary

Dantavious Jackson, a truck driver from Union City, Georgia who also prepared tax forms, agreed to plead guilty to mail fraud under 18 U.S.C. § 1341 in a plea agreement filed 07/07/25 as Document 21 in Case 1:25-cr-00038-DHB-BKE in the Southern District of Georgia. The factual basis states that from about June 2022 through about August 2023 Jackson, as a "ghost preparer," filed IRS Forms 941 that falsely claimed $4,112,297.57 in tax refunds based on COVID-19-related tax credits, and that the Treasury mailed refund checks totaling approximately $1,567,855.86.

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Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 1 of 17
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UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF GEORGIA

AUGUSTA DIVISION
UNITED STATES OF AMERICA )
v. ) 1:25-CR-
DANTAVIOUS JACKSON C 4 ? 5 . 4} 4 8

PLEA AGREEMENT

Defendant Dantavious JACKSON, represented by Defendant’s counsel
Rhonda S. Smith, Esq., and the United States of America, represented by Assistant
United States Attorney George J.C. Jacobs, III, have reached a plea agreement in
this case. The terms and conditions of that agreement are as follows.

1. Guilty Plea

Defendant, having been advised of the right to be charged by Indictment,
agrees to waive that right and enter into a plea of guilty to Count One of the
Information, which charges that the Defendant committed mail fraud, in violation of
18 U.S.C. § 1341. The Defendant acknowledges that this plea agreement is subject
to approval by the Department of Justice - Tax Division, and that approval must be
obtained prior to entering a plea before the Court.

2. Elements and Factual Basis

The elements necessary to prove the offense charged in Count One of the

Information are:
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 2 of 17
(1) Defendant knowingly devised or participated in a scheme to defraud, or to
obtain money or property by using false pretenses, representations, or
promises, as described in Count One;

(2) the false pretenses, representations, or promises were about a material fact;

(3) Defendant acted with the intent to defraud; and

(4) Defendant used the United States Postal Service by mailing or causing to

be mailed something meant to help carry out the scheme to defraud.

Defendant agrees that the Defendant is, in fact, guilty of the offense. The
Defendant agrees to the accuracy of the following facts, which satisfy each of the
offense’s required elements:

JACKSON was a resident of Union City, Georgia, in the Northern District of
Georgia, and worked as a truck driver at his business D & D Rockstar Trucking,
which he owned and operated in Union City, Georgia. On the side, JACKSON also
prepared tax forms for others. Individual #1 was a resident of Grovetown, Georgia,
in the Southern District of Georgia, and owned and operated a trucking company
(“Company #1”) in Grovetown, Georgia. Any individual who prepared and assisted
in preparing federal tax returns for a fee was required to obtain a preparer
identification number (“PTIN”) from the Internal Revenue Service (“IRS”). A paid
preparer was required to place his PTIN on each tax return he or she prepared for a
fee to identify the preparer of that return.

The Coronavirus Aid, Relief, and Economic Security Act or CARES Act,

enacted on March 27, 2020, provided for an employee retention credit (“ERC”), a
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 3 of 17
refundable tax credit, which was designed to encourage businesses to keep
employees on their payroll during the COVID-19 pandemic. The ERC was claimed
by an employer by filing an IRS Form 941, “Employer’s Quarterly Federal Tax
Returns” (“Forms 941”) or a Form 941X, “Adjusted Employers’ Quarterly Federal
Tax Return or Claim for Refund,” with the IRS for the relevant quarter.

Between in or about June 2022 and August 2023, JACKSON, in exchange for
a percentage of the refund or other fee, prepared and caused to be prepared IRS
Forms 941, on behalf of client-taxpayers for submission to the IRS. JACKSON
prepared and filed and caused to be prepared and filed the tax returns as a “ghost
preparer,” meaning that he did not identify himself through a PTIN or by any other
self-identifying information in the “Paid Preparer Use Only” section on.the returns
he prepared and filed with the IRS on behalf of his paying client-taxpayers.

From in or around June 2022 through in or around August 2023, JACKSON
executed a scheme and artifice to defraud the United States by preparing, causing
to be prepared, and electronically filing IRS Forms 941 for himself, Individual #1,
and another individual, that falsely claimed that JACKSON and the two other
individuals were entitled to receive $4,112,297.57 in tax refunds based on
fraudulently-claimed COVID-19-related tax credits. As a result of JACKSON’s
scheme, the United States Treasury mailed tax refund checks totaling
approximately $1,567,855.86 to JACKSON, Individual #1 and another individual.

Defendant agrees and stipulates that on or about October 4, 2022, he

knowingly and intentionally prepared and filed and caused to be prepared and filed
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 4 of 17
with the Internal Revenue Service (“IRS”) a materially false and fraudulent Form
941 for the quarter ending December 31, 2021, claiming a $163,905.68 tax refund
based on COVID-19-Related Tax Credits for Trucking Company #1 for which it was
not entitled. Individual #1 did not file any Forms W-2 or Forms 1099 on behalf of
Trucking Company #1 with the IRS for tax year 2021. Additionally, Trucking
Company #1 did not have any employees for tax year 2021. On or about November
8, 2022, in the Southern District of Georgia and elsewhere, the Defendant for the
purpose of executing and attempting to execute a scheme and artifice to defraud the
IRS and to obtain money and property from the IRS, knowingly caused to be
delivered through the United States Mail, a tax refund, to wit: United States
Treasury Check No. 4045-11781218 in the amount of $157,583.98 and made payable
to Individual #1 in Grovetown, Georgia in the Southern District of Georgia.

The Forms 941 JACKSON prepared and filed, and caused to be filed, were
materially false and fraudulent as they listed employees and wages that, in fact, did
not actually exist. JACKSON used these fake employees and wages to claim ERCs
and, in doing so, fraudulently induced the U.S. Treasury to issue tax refunds.

From in or around June 2022 through in or around August 2023, he executed
a scheme and artifice to defraud the United States by preparing, causing to be
prepared, and electronically filing approximately 35 IRS Forms 941, “Employer’s
Quarterly Federal Tax Returns” (“Forms 941”) for himself and two clients
(Individuals #1 and #2) that falsely claimed that Defendant and his two clients were

entitled to receive tax refunds based on fraudulently-claimed COVID-19-related tax
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 5 of 17
credits. In reliance on Defendant’s false statements in these Forms 941, the United
States Department of Treasury mailed refund checks from outside the State of
Georgia to individuals within the Southern District of Georgia, and to Defendant in
the Northern District of Georgia.

. JACKSON and his two clients profited from the scheme. JACKSON received
tax refunds totaling $546,309.82, in the form of United States Treasury checks, based
on false Forms 941 submitted for his company, D&D Rockstar Trucking, LLC.
JACKSON also profited by recruiting two other individuals (including Individual #1)
to have false Forms 941 prepared and by collecting a percentage of the fraudulently
obtained tax refunds as a fee. JACKSON’s two clients profited by receiving tax
refunds ($577,572.70 and $443,973.34, respectively), in the form of United States
Treasury checks, based on materially false Forms 941 submitted for each of their
trucking companies.

3. Possible Sentence

Defendant’s guilty plea on Count One will subject the Defendant to the
following maximum possible sentence: 20 years’ imprisonment, 3 years’ supervised
release, a $250,000 fine or the greater of twice the pecuniary gain or twice the gross
loss, and such restitution as may be ordered by the Court. The Court additionally
must impose a $100 special assessment per count of conviction.

4. No Promised Sentence
No one has promised Defendant that the Court will impose any particular

sentence or a sentence within any particular range. The Court is not bound by any
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 6 of 17
estimate of sentence given or recommendations made by Defendant’s counsel, the
government, the U.S. Probation Office, or anyone else. The Court may impose a
sentence up to the statutory maximum. Defendant will not be allowed to withdraw
Defendant’s plea of guilty if the Defendant receives a more severe sentence than the
Defendant expects.
5. Court’s Use of Sentencing Guidelines

The Court is obligated to use the United States Sentencing Guidelines to
calculate the applicable guideline range for Defendant’s offense. The Sentencing
Guidelines are advisory; the Court is not required to impose a sentence within the
range those Guidelines suggest. The Court will consider that range, possible
departures under the Sentencing Guidelines, and other sentencing factors under 18
U.S.C. § 85538(a), in determining the Defendant’s sentence. The Sentencing
Guidelines are based on all of Defendant’s relevant conduct, pursuant to U.S.S.G. §
1B 1.3, not just the conduct underlying the particular Count to which Defendant is
pleading guilty.

6. Agreements Regarding Sentencing Guidelines

a. Use of Information

Nothing in this agreement precludes the government from providing full and
accurate information to the Court and U.S. Probation Office for use in calculating the
applicable Sentencing Guidelines range.

b. Acceptance of Responsibility
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 7 of 17
If the Court determines that Defendant qualifies for an adjustment under
U.S.S.G. § 3E1.1(a), and the offense level prior to operation of § 3E1.1(a) is 16 or
greater, the government will move for an additional one-level reduction in offense
level pursuant to Section 3E1.1(b) based on Defendant’s timely notification of the
Defendant’s intention to enter a guilty plea.

c. Amount of Loss

The government and Defendant agree to recommend to the U.S. Probation
Office and the Court at sentencing that the amount of intended loss, for purposes of
Section 2B1.1 of the Sentencing Guidelines, is more than $3,500,000 but less than
$9,500,000.

d. Within Guidelines Range

The government will recommend that Defendant be sentenced within the
advisory Guidelines range determined by the Court at sentencing.

7. Cooperation

a. Complete and Truthful Cooperation Required

Defendant must provide full, complete, candid, and truthful cooperation in the
investigation and prosecution of the offenses charged in Defendant’s Information and
any related offenses. Defendant shall fully and truthfully disclose Defendant’s
knowledge of those offenses and shall fully and truthfully answer any question put to
her by law enforcement officers about those offenses.

This agreement does not require Defendant to “make a case” against any

particular person. Defendant’s benefits under this agreement are conditioned only
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 8 of 17
on Defendant’s cooperation and truthfulness, not on the outcome of any trial, grand
jury, or other proceeding.

b. Cooperation with the Internal Revenue Service

The Defendant agrees to cooperate with the IRS in its civil examination,
determination, assessment, and collection of employment taxes and refunds related
to the employment tax returns prepared by the Defendant as a “ghost” preparer, and
further agrees not to conceal, transfer, or dissipate funds or property that could be
used to satisfy any outstanding taxes, penalties, and interest. The Defendant agrees
to provide the IRS any documentation in the Defendant’s possession and/or control
requested by the IRS in connection with its civil examination, determination,
assessment, and collection of such taxes and refunds prior to sentencing. Nothing in
this agreement shall limit the IRS in its civil determination, assessment, and
collection of any taxes, interest, and/or penalties that the Defendant may owe.

c. Motion for Reduction in Sentence Based on Cooperation

The government, in its sole discretion, will decide whether Defendant's
cooperation qualifies as “substantial assistance” pursuant to U.S.S.G. § 5K1.1 or Fed.
R. Crim. P. 35 and thereby warrants the filing of a motion for downward departure
or reduction in Defendant’s sentence. If such a motion is filed, the Court, in its sole
discretion, will decide whether, and to what extent, Defendant’s sentence should be
reduced. The Court is not required to accept any recommendation by the government
that the Defendant’s sentence be reduced. }

8. Financial Obligations and Agreements
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 9 of 17
a. Restitution

The amount of restitution ordered by the Court shall include restitution for the
full loss caused by Defendant's total criminal conduct. Restitution is not limited to
the specific count to which Defendant is pleading guilty. Any restitution judgment is
intended to and will survive Defendant, notwithstanding the abatement of any
underlying criminal conviction.

The Defendant agrees to pay restitution to the Internal Revenue Service in the
principal amount of $1,567,855, jointly and severally with others, if ordered by the
Court, pursuant to Title 18, United States Code, Section 3663(a), and agrees that the
total amount of restitution reflected in this agreement results from the Defendant’s
fraudulent conduct.

The Defendant agrees that, unless the Director of the Administrative Office of
the United States Courts directs him otherwise, all payments made pursuant to the
District Court’s restitution order, the Defendant will provide the following
information: (1) Defendant’s name and Social Security Number; (2) The District
Court Docket Number assigned to this case; and (8) a Statement that the payment is
being submitted pursuant to the District Court’s restitution order.

The Defendant agrees to include a request that the Clerk of the Court send the
information, along with the Defendant’s payments, to the IRS at the following
address: IRS-RACS, Attention: Mail Stop 6261, Restitution, 333 W. Pershing

Avenue, Kansas City, MO 64108. The Defendant also agrees to send a notice of
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 10 of 17
any payments made pursuant to this agreement, including the information listed in
the previous paragraph, to the IRS at this address.

b. Special Assessment

Defendant agrees to pay a special assessment in the amount of $100, payable
to the Clerk of the United States District Court, which shall be due immediately at
the time of sentencing.

Cc. Required Financial Disclosures

By the date that Defendant enters a guilty plea, Defendant shall complete a
financial disclosure form listing all Defendant’s assets and financial interests,
whether held directly or indirectly, solely or jointly, in Defendant’s name or in the
name of another. Defendant shall sign the financial disclosure form under penalty of
perjury and provide that form to the Financial Litigation Unit of the United States
Attorney's Office and to the United States Probation Office. Defendant authorizes
the United States to obtain credit reports on Defendant and to share the contents of
those reports with the Court and the United States Probation Office. Defendant also
authorizes the United States Attorney’s Office to inspect and copy all financial
documents and information held by the United States Probation Office.

d. Financial Examination

Defendant will submit to an examination under oath on the issue of
Defendant’s financial disclosures and assets if deemed necessary by the United
States. Such examination will occur not later than 30 days after the entry of

Defendant’s guilty plea.
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 11 of 17
e. No Transfer of Assets

Defendant certifies that Defendant has made no transfer of assets in
contemplations of this prosecution for the purpose of evading or defeating financial
obligations created by this Agreement or that may be imposed upon Defendant by the
Court at sentencing. Defendant promises that Defendant will make no such transfers
in the future.

f. Material Change in Circumstances

Defendant agrees to notify the United States of any material change in
circumstances, as described in 18 U.S.C. § 3664(k), that occurs prior to sentencing in
this case. Such notification will be made within seven days of the event giving rise
to the changed circumstances, and in no event later than the date of sentencing.

g. Enforcement

Any payment schedule imposed by the Court is without prejudice to the United
States to take all actions and remedies available to it to collect the full amount of the
financial obligations imposed by the judgment of the Court in this case. Defendant
understands and agrees that the financial obligations imposed by the judgment of the
Court in this case will be placed on the Treasury Offset Program so that any federal
payment that Defendant receives may be offset and applied to the judgment debt
without regard to or affecting any payment schedule imposed by the Court.

9. Waivers

a. Waiver of Appeal
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 12 of 17
Defendant entirely waives Defendant’s right to a direct appeal of Defendant’s
conviction and sentence on any ground (including any argument that the statute to
which the Defendant is pleading guilty is unconstitutional or that the admitted
conduct does not fall within the scope of the statute). The only exceptions are that
the Defendant may file a direct appeal of Defendant’s sentence if (1) the court enters
a sentence above the statutory maximum, (2) the court enters a sentence above the
advisory Sentencing Guidelines range found to apply by the court at sentencing; or
(8) the Government appeals the sentence. Absent those exceptions, Defendant
explicitly and irrevocably instructs Defendant’s attorney not to file an appeal.

b. Waiver of Collateral Attack

Defendant entirely waives Defendant’s right to collaterally attack Defendant’s
conviction and sentence on any ground and by any method, including but not limited
to a 28 U.S.C. § 2255 motion. The only exception is that Defendant may collaterally
attack Defendant’s conviction and sentence based on a claim of ineffective assistance

of counsel.

Cc. FOIA and Privacy Act Waiver

Defendant waives all rights, whether asserted directly or through a
representative, to request or receive from any department or agency of the United
States any record pertaining to the investigation or prosecution of this case under the
authority of the Freedom of Information Act, 5 U.S.C. § 552, or the Privacy Act of
1974, 5 U.S.C. § 552a, and all subsequent amendments thereto.

d. Fed. R. Crim. P. 11() and Fed. R. Evid. 410 Waiver
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 13 of 17
Rule 11(f) of the Federal Rules of Criminal Procedure and Rule 410 of the
Federal Rules of Evidence ordinarily limit the admissibility of statements made by a
Defendant during the course of plea discussions or plea proceedings. Defendant
knowingly and voluntarily waives the protections of these rules. If Defendant fails
to plead guilty, or Defendant’s plea of guilty is later withdrawn, all of Defendant’s
statements in connection with this plea, and any leads derived therefrom, shall be
admissible for any and all purposes.

10. Forfeiture

a. Defendant hereby agrees to the entry of an Order of Forfeiture reflecting
a money judgment in the amount of $546,309.82,! said sum constituting the gross
proceeds Defendant obtained as a result of the offense to which Defendant has agreed
to plead guilty, as determined by the Court at sentencing.

b. Defendant acknowledges that the government may move at any time,
pursuant to Fed. R. Crim. P. 32.2(e) to forfeit as substitute assets specific property of
Defendant having a value up to the amount of the money judgment entered by the
Court. In the event the government exercises its right to forfeit substitute assets, the
Defendant agrees to take all steps requested by the government to pass clear title to
the substitute property to the government.

c. Defendant agrees to hold the government and its agents and employees

harmless from any claims made in connection with the seizure, forfeiture, or disposal

1 This forfeiture amount consists of the $546,309.82 Defendant received in
fraudulent tax refunds.
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 14 of 17
of property connected to this case. Defendant further agrees to waive the
requirements of the Federal Rules of Criminal Procedure 32.2 and 43(a) regarding
notice of the forfeiture in the charging instrument, announcement of the forfeiture at
sentencing, and incorporation of the forfeiture in the judgment.

d. Defendant waives and abandons Defendant’s interest in any other
property that may have been seized in connection with this case. Additionally,
Defendant waives any and all challenges on any grounds to the seizure, forfeiture,
and disposal of any property seized in connection with this case. Defendant
specifically agrees to waive any challenges arising under the Double Jeopardy
Clause of the Fifth Amendment and the Excessive Fines Clause of the Eighth
Amendment.

11. Defendant’s Rights

Defendant has the right to be represented by counsel, and if necessary have
the court appoint counsel, at trial and at every other critical stage of the proceeding.
Defendant possesses a number of rights which Defendant will waive by pleading
guilty, including: the right to plead not guilty, or having already so pleaded, to persist
in that plea; the right to a jury trial; and the right at trial to confront and cross-
examine adverse witnesses, to be protected from compelled self-incrimination, to
testify and present evidence, and to compel the attendance of witnesses.

12. Satisfaction with Counsel
Defendant has had the benefit of legal counsel in negotiating this agreement.

Defendant believes that Defendant’s attorney has represented Defendant faithfully,
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 15 of 17
skillfully, and diligently, and Defendant is completely satisfied with the legal advice
given and the work performed by Defendant’s attorney.

13. Breach of Plea Agreement

If Defendant fails to plead guilty, withdraws or attempts to withdraw
Defendant’s guilty plea, commits any new criminal conduct following the execution of
this agreement, or otherwise breaches this agreement, the government is released
from all of its agreements regarding Defendant’s sentence, including any agreements
regarding the calculation of Defendant’s advisory Sentencing Guidelines. In addition,
the government may declare the plea agreement null and void, reinstate any counts
that may have been dismissed pursuant to the plea agreement, and/or file new
charges against Defendant that might otherwise be barred by this plea agreement.
Defendant waives any statute-of-limitations or speedy trial defense to prosecutions
reinstated or commenced under this paragraph.

14. Entire Agreement

This agreement contains the entire agreement between the government and
Defendant.

TARA M. LYONS
ACTING UNITED STATES ATTORNEY

elo lavas ! Ct 2
Date Tania D. Groover

Chief, Criminal Division

6/6/2025 nS} -) Joe
G

Date eorge J.C. Jacobs, Il
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 16 of 17
D.C. Bar No. 419016
Assistant United States Attorney
Case 1:25-cr-00038-DHB-BKE     Document 21     Filed 07/07/25     Page 17 of 17
I have read and carefully reviewed this agreement with my attorney. I

understand each provision of this agreement, and I voluntarily agree to it. I hereby

stipulate that the factual basis set out therein is true_and accurate in every respect.

Date Dantavious Jack:

Defendant

I have fully explained to Defendant all of Defendant’s rights, and I have
carefully reviewed each and every part of this agreement with Defendant. I believe
that Defendant fully and completely understands it, and that Defendant’s decision to

enter into this agreement is an informed, intelligent, and voluntary one.

VAN

Date Rhonda S. Smith
Defendant’s Attorney


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