MEMPHIS, TN (abc24.com) - If this tax season hasn't been bad enough, Mo' Money customers could soon face another nightmare: an audit.
In the end, Mo' Money customers sign their returns, making them responsible for any errors, no mater who prepared the taxes.
Illinois Attorney General Lisa Madigan filed suit against Mo' Money this week, alleging they filed unauthorized federal income tax returns, and charged "undisclosed and exorbitant fees for tax preparation services."
In a release announcing the suit, Madigan warned Mo' Money customers not to cash their checks, and instead call the Internal Revenue Service immediately.
"Taxpayers who have already cashed or deposited a refund check from Mo' Money should be very cautious," Madigan said. "These consumers may be subject to an IRS audit and required to return their refund."
"I'd say they better start saving up their money because they're going to owe penalties and interest," said John W. Thomas, a Cordova-based certified public accountant.
Thomas says in the end the filer is responsible, and if a filer's tax return is larger than it should be, they could owe the IRS the extra amount and then some.
"If they know where you work they can garnish, put a garnish on your wages, which would be very detrimental to most people," said Thomas.
On Thursday, Mo' Money again insisted it did nothing wrong, telling abc24.com it planned to fight that Illinois lawsuit.
