Jonathan Wally, 34, a police officer with the New York City Police Department since 2003, pled guilty on August 8, 2013 to tax fraud and identity theft charges.

Since at least 2008, Wally also served as a registered tax preparer with the IRS, though he didn't seek the NYPD's authorization for such employment, as the police department requires.

From 2010 through April 2012, Wally filed fraululent tax returns the claimed refunds on his own and others' behalf. He continued to do so through January 2013 for his own returns.

Wally also obtained the Social Security numbers and personal identifying information of children, which he used to declare the children as dependents on his own and others' returns.

In total, Wally's scheme defrauded the IRS of at least $195,808.

Wally pled guilty to aiding and abetting the filing of a false and fraudulent tax return, subscribing to a false and fraudulent tax return, and two counts of identity theft.

"Jonathan Wally spent his off-duty time breaking the law he enforced as a police officer," Manhattan U.S. Attorney Preet Bharara said in a statement. "With his guilty plea today, he will now pay the price for his crimes of identity theft and tax fraud, including the return of all the money he swindled from the IRS."

Wally is scheduled to be sentenced on December 9, 2013. He faces up to 26 years in prison.