A Massachusetts man pleaded guilty on Friday to willful failure to collect, account for and pay over any payroll taxes owed by businesses he owned and controlled.
According to court documents, Kenneth Marston, of Kingston, was the owner and operator of Bowmar Steel Industries Inc., a steel fabrication company, and Teleconstructors Inc., which provided installation services on cellular phone towers. Marston was responsible for withholding Social Security, Medicare and income taxes from his employees’ paychecks and paying those funds over to the IRS.
However, from approximately March 2015 through December 2018, Marston caused Bowmar Steel and Teleconstructors to not withhold taxes or pay them to the IRS on approximately $3.8 million in wages.
In total, Kenneth Marston caused a tax loss to the IRS of between $550,000 and $1.5 million.
Marston is scheduled to be sentenced on Jan. 3. He faces a maximum penalty of five years in prison. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts made the announcement.
IRS Criminal Investigation is investigating the case.
Trial Attorney Mark McDonald of the Tax Division and Assistant U.S. Attorney James R. Drabick for the District of Massachusetts are prosecuting the case.
This crime news article "Owner of Massachusetts Cellular Phone Tower Installation and Repair Business Pleads Guilty to Employment Tax Crimes" was originally found on https://www.justice.gov/usao/pressreleases