MEMPHIS, TN (abc24.com) - The feds are investigating what's believed to be a tax scam operating in northern Mississippi. It's all about people claiming they bought fuel efficient cars to get bigger income tax refunds. Those under investigation may never have bought a fuel efficient car, or even a car.
The criminal division of the Internal Revenue Service is trying to get to the bottom of what is going on in Holly Springs, Mississippi.
Holly Springs Police Chief William Hollowell says one woman has cashed at least six checks from the federal government, totaling more than $6,000, since July. The money is believed to be IRS tax credits for fuel efficient cars. The checks, all made out to different people, all went to the same apartment.
No one answered the door at that apartment, but neighbors have never heard of the people whose names were on the checks even though they are supposed to live next door.
Truth is this is a low income government housing complex. Many people don't have cars or have older cars. Residents say if brand new fuel efficient cars were in the parking lot they'd know it.
Hollowell says the checks were cashed at the Holly Springs Walmart. Store security discovered what was going on and called police.
Police are taking their findings and turning them over to IRS Criminal Investigations.
Investigators are still trying to figure out how many checks were cashed and how many people are involved. Truth is this could be one person stealing people's identities to cash in, or the people issued the checks could be in on it.