An East Tennessee man has pleaded guilty to claiming millions in false tax returns.
According to the United States Department of Justice, Ryan Glidewell, of Kingsport, conspired with others to file false tax returns seeking refunds based on the Employee Retention Credit and paid Sick and Family Leave Credit, both of which were created by Congress to aid struggling businesses during the COVID-19 global pandemic.
Glidewell worked with two co-conspirators, including his wife Aylissa, to create phony businesses that didn’t have any employees or operations to falsely claim the credits. All of the phony businesses were located in Sullivan County.
The DOJ says Glidewell filed several false tax returns for those businesses and directed the tax refunds to be mailed to an address he controlled.
In total, officials say the false returns claimed almost $3 and a half million in tax refunds, of which the IRS paid $1.8 million.
Glidewell pleaded guilty to Conspiring to commit wire and mail fraud Aiding and assisting in the preparation of a false tax return
Money laundering and is set to be sentenced on November 12, where he faces a maximum penalty of 20 years in prison for the conspiring to commit wire and mail fraud charge, a maximum of 10 years for the money laundering charge and a maximum of three years for the aiding and assisting in the filing of a false tax return charge.
This comes after Aylissa pleaded guilty in the scheme back in March to conspiring to commit wire and mail fraud. She is scheduled to be sentenced on September 15.
