Leo Perry expected to plead guilty in tax refund scam

Local 4 Defenders reveal details of tax return scam

Published On: Aug 01 2012 06:11:42 PM EDT   Updated On: Aug 01 2012 06:41:21 PM EDT
DETROIT -

Leo Perry promised customers a bonanza on their federal income tax returns.

Local 4 Defenders report Perry told customers he could get them an extra $5,000 by filing false claims on 1099 forms. Perry reportedly made deals to split the amount of the refund.

Local 4 Defenders reported the IRS noticed several of Perry's clients with similar claims.

A quick investigation found the claims were fraudulent and the IRS charged Perry with a federal crime that could lead to up to 5 years in prison.

Perry does not plan to fight the charges, but will plead guilty and hope for less prison time.

Sentencing is scheduled for November.

 Perry still has to pay back the money and could be charged penalties and interest.