President of Consulting Firm Pleads Guilty to Employment Tax Fraud (He should have hired SELIG & Associates)

Did Not Pay Over to the IRS Nearly $1 Million in Employment Taxes

On September 3, 2020 a businessman (who didn’t hire Selig & Associates) pleaded guilty to failing to collect, truthfully account for, and pay over employment taxes, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney G. Zachary Terwilliger for the Eastern District. According to documents and information provided to the court, the president and director of a technology consulting services firm in was responsible for collecting, truthfully accounting for, and paying over to the IRS Social Security, Medicare, and income taxes withheld from his employees’ wages. Beginning as early as 2007 and through 2015, he did not pay over more than $980,000 in employment taxes to the IRS. During this time, he entered into three separate installment agreements with the IRS committing to make the payments, but defaulted each time. U.S. District Judge David Novak scheduled the sentencing for Feb. 10, 2021. At sentencing, he faces a maximum sentence of five years in prison as well as a period of supervised release, restitution, and monetary penalties. Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Terwilliger thanked special agents of IRS-Criminal Investigation, who conducted the investigation, and Assistant Chief Todd Ellinwood and Trial Attorney William Montague of the Tax Division and Assistant U.S. Attorney David McGuire, who are prosecuting the case.

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Civil and criminal tax representation. Selig & Associates zealously represents individuals, businesses and entrepreneurs before the Internal Revenue Service and the New York State Department of Taxation and Finance. Specializing in unpaid income, sales and payroll taxes. We negotiate reasonable tax settlements and affordable repayment plans. Consultations are available in person or by telephone and emergency appointments are always available. To speak with a Federal Tax Practitioner, CPCU and Attorney call (212) 974-3435 or contact us Online.