Woman pleads to $2.1 million tax fraud

SALEM, Ore., July 25 (UPI) -- A 25-year-old woman has pleaded guilty to receiving a $2.1 million tax refund in what state authorities are calling the biggest tax fraud in Oregon history.

Krystle Marie Reyes had already spent about $150,000 of the refund before the crime was discovered in April, The Oregonian reported. Some of the money had gone for a down payment on a 13-year-old van, a queen-sized air mattress, living room furniture, and household goods.

Tax refunds are issued on a debit card and the fraud was only noticed after Reyes twice reported her card stolen.

The state revenue department Tuesday was to release the results of an internal audit to determine how such a high refund was issued to Reyes, who reported she was paid less than $15,000 each of the previous two years.

Reyes had initially been charged with eight felonies, for which she could have been imprisoned for seven years. She pleaded guilty to one count of felony tax evasion and three counts of felony theft.