WASHINGTON (Legal Newsline) — The U.S. Department of Justice recently announced the decision to sue an Oregon woman over an alleged tax fraud scheme.
The department alleges Priscilla E. Schrock of Oregon City, Oregon, promotes the formation and use of “religious non-profit corporations” (RNPCs), and Schrock tells her customers these RNPCs are exempt from tax laws.
The suit says she also tells consumers that transferring assets to an RNPC protects the assets from actions made by the Internal Revenue Service (IRS). Schrock allegedly promotes the scheme through South Beach Missions, an entity she created in Oregon City.
The department seeks a ban disallowing Schrock from promoting and selling the scheme and would like the court to order Schrock to provide a list of customers’ names, addresses, telephone numbers and email addresses.
Abusive tax schemes and return preparer fraud are a major issue according to the Department of Justice and the IRS. These fraud schemes made the IRS’s "Dirty Dozen" tax scams for 2016.