NYC Tax Advocates

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Specializing in IRS and NYS Tax Representation. Workers Compensation Audits, Payroll, Sales and Income Tax representation for Businesses, Individuals, Restaurants and Construction Companies. Civil and Criminal Workers Comp Audit representation includes: NYSIF Examinations, Premium Disputes, Employee Misclassification, Underreporting, Unreported Income, and Failure to Keep Accurate Payroll Records.

Tuesday, November 5, 2019

Owner of Company Sent to Prison for Employment Tax Fraud

In a nutshell, the Disgruntled defendant withheld taxes from his employees and kept it. Accordingly, the defendant didn’t pay the IRS $1,000,000 (ONE MILLION DOLLARS) in Withholdings and Payroll Taxes andwas sentenced to 24 months in prison for failing to account for and pay over employment taxes withheld from his employees’ wages, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney R. Trent Shores. 

When they dragged him from the Courtroom, I thought I heard him say: 
“I should have hired Selig & Associates” 
(said a Bailiff under the terms of confidentiality)

According to documents and information provided to the Court, the business-owner was responsible for withholding, and paying over to the Internal Revenue Service (IRS) payroll taxes on the wages paid to his employees. For the period January 2014 through June of 2016  he caused a tax loss of approximately $1 million by intentionally not paying to the IRS income and social security taxes withheld from employees’ wages and the employer portion of social security taxes due from on those wages. In addition to prison, the business-owner was ordered to pay restitution to the IRS in the amount of $904,091, and to serve three years of supervised release
Our mission is to win every tax case and practice our chosen professions with integrity ingenuity and thrift

FREE CONSULTATION We provide our Clients with effective tax representation before the IRS and State. By addressing difficult tax controversies with intelligence and positive energy, our Clients are able to solve their tax problems and get on with their lives. 

IRS and State tax representation includes unpaid income, sales and payroll taxes, unfiled tax returns, monthly installment agreements, offer in compromise, audits, suspended drivers’ license, suspended passport, tax evasion, tax crimes and most other tax issues. 

To schedule a legally privileged consultation with David P. Selig, CPCU, Federal Tax Practitioner and Attorney Bradley H. Dorin, Esq. call (212) 974-3435 directly or contact us through our Online Action Form. 

We strive to obtain the best possible outcome for our clients

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