Back in 2000, the IRS raided “Renaissance, The Tax People.” The company was a multi-level marketing firm specializing in tax. Nothing wrong so far. However, the Department of Justice alleged in 2004 that the company told clients to add non-existant exemptions to their W-4 forms, decreasing the tax the clients had to pay. And it would be just enough money to buy the Renaissance tax package! Additionally, they were accused of having a pyramid scheme.
Michael Cooper, the former head of Renaissance, fled the United States in 2003, but was caught re-entering the U.S. near Laredo, Texas. Mr. Cooper will be tried next year.
Daniel Gleason, the former tax director for Renaissance, pleaded guilty today to defrauding the IRS. He’ll face up to five years in prison when sentenced.
My usual advice still applies: when it sounds too good to be true, it probably is.
Tags: Renaissance