TAX NEWS - JUNE 2010

Wisconsin Tax: Inmate convicted in Wisconsin tax fraud case

03 June 2010 -- A second inmate at Wisconsin's largest women's prison has pleaded guilty to tax fraud after trying to receive tax credits for living in apartments even though they were behind bars.

Wendy Nelsen was convicted in Fond du Lac County Circuit Court on Thursday of six counts of tax fraud. She faces up to 60 years in prison and $60,000 in fines. Sentencing is set for Aug. 5.

Two other inmates charged with tax fraud pleaded not guilty on Thursday. A trial for Amy Prelwitz is set for Aug. 17. The court ordered an evaluation of Kristine Flynn's mental status after she pleaded not guilty by reason of mental disease or defect.

A fourth inmate, Nicole Ousley, was sentenced last month to two years in prison after pleading guilty to a pair of tax fraud charges.