Monthly Archives: October 2022

According to Law360, a Florida federal judge ordered a former tennis pro accused of failing to file tax returns to pay $362,000 in liabilities Friday after he didn't show up in court or otherwise respond to the U.S. government's suit against him.

In issuing the default final judgment, U.S. Judge Kenneth A. Marra also ordered foreclosure on federal liens against a home that former tennis pro Gary McDevitt bought in Jupiter for $459,000 more than a decade ago, according to court filings.

McDevitt, who runs tennis coaching and swimming pool businesses, failed to file returns for 2008 to 2011 despite earning enough money to require it, the government said. For 2008, McDevitt owed $104,000 in unpaid tax alone, though by 2011 that number had dropped to less than $10,000.

McDevitt was served personally with a summons at his Jupiter address in April, just weeks after the government brought its suit against him. He failed to file a response as required by law, and again failed to respond when the government amended its complaint in July.

Before Judge Marra issued the final judgment, the government presented sworn evidence that McDevitt was not a member of the armed services who would be allowed special privileges in such a situation, and that the government had no evidence that he was incompetent and unable to respond to the lawsuit.

Judge Marra ordered that the proceeds from the home foreclosure go first to Charles Schwab Bank, which holds a $100,000 interest for a home-equity loan it gave McDevitt, with the rest going to the government to pay down the tax bill.

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The OECD is seeking to prevent crypto assets from being used in tax evasion and other financial crimes, the Organization for Economic Cooperation and Development has presented a new system of information exchanges between national governments, bolstering the OECD's existing common reporting standard.

According to DoJ, a Baltimore businessman pleaded guilty on October 12, 2022, to willfully failing to account for and pay over employment taxes to the IRS.

According to court documents and statements made in court, Jonas Purisch operated two employee staffing companies, Titan Staffing Network, Inc. and Titan Services, LLC, which both provided workers for third-party manufacturing businesses in Maryland. Purisch owned the two companies and was responsible for their operations, including withholding and paying over to the IRS employment taxes on behalf of the employees.

Between March 2018 and March 2021, Purisch withheld but did not pay over to the IRS more than $2 million in payroll taxes on behalf of the two companies’ employees.

As part of his guilty plea, Purisch has agreed to pay more than $3.4 million in restitution to the IRS. This amount includes the employer’s share of the employment taxes Purisch owed to the IRS.

In April 2013, Purisch was convicted in the District of Maryland of filing a false individual income tax return and willful failure to file a tax return. He was sentenced to three months in prison.

Purisch is scheduled to be sentenced on Dec. 12,2022. He faces a maximum of five (5) years in prison for willful failure to account for and pay over employment taxes. He also faces a period of supervised release, restitution, and monetary penalties.

  Thinking of Borrowing From Your Company's
Payroll Tax Withholdings?

You Better Thank Again, if You Like Your Freedom!

 Have Payroll Tax Problems?

 

 Contact the Tax Lawyers at
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or Toll Free at 888-8TaxAid (888-882-9243) 

 

 

According to DoJ, a Michigan man was sentenced to 38 months in prison after engaging in a nearly decade-long effort to prevent the IRS from collecting unpaid taxes he and his businesses owed.

According to court documents and statements made in court, Scott Chappelle, 61, of Okemos and East Lansing, was an attorney and former CPA who operated Strathmore Development Company Michigan LLC, Terra Holdings LLC, and Terra Management Company, all of which were involved in real estate development and property management in the East Lansing area. Chappelle admitted he did not pay over to the IRS employment taxes that were withheld from the wages of the three companies’ employees. After the IRS began trying to collect the unpaid taxes, Chappelle attempted to evade payment of those taxes by making false statements to the IRS about his and his companies’ assets and income. To further hide assets from the IRS and evade payment of taxes, Chappelle also concealed his vacation house on Lake Michigan and purchased real property in the names of businesses instead of in his own name.

“Scott Chappelle spent nearly ten years evading taxes he owed to the IRS,” said Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division. “At the same time he was falsely claiming financial hardship, Chappelle was spending money on multiple homes, payments toward a luxury yacht, and elective plastic surgery. His prison sentence imposed today reaffirms a fundamental principle – those who lie to IRS collection agents and criminal investigators will be held accountable.”

Chapelle Spent Cash That Wasn’t His, Funds Withheld From His Workers As Employment Taxes, Which He Then Hid From The IRS, To Support An Extravagant Lifestyle He Didn’t Earn.

Chappelle falsely told IRS employees that he and his companies could not afford to pay their tax debts because of financial hardships, while he simultaneously paid substantial personal expenses using bank accounts in the names of at least six different businesses he controlled. These personal expenses included mortgage payments on three houses and a condominium, payments toward the purchase of a yacht, college tuition for his children, plastic surgery, personal credit card bills, life insurance premiums, car payments for himself and one of his children, and expenses associated with boats he owned.

Chappelle also admitted to making false statements to special agents of IRS-Criminal Investigation who investigated his misconduct. Chappelle did not tell the criminal investigators about real property he had purchased, including a house in Ohio purchased just one month before the interview and he concealed the source of the funds used to pay a mortgage on a condominium in East Lansing.

During the criminal investigation, Chappelle also filed a false employment tax return for Terra Holdings LLC, falsely reporting that the company had no employees and paid no wages during the period covered by the return. In fact, Chappelle knew the company had employees and paid wages during that period because he approved submissions to the company’s payroll provider.

Chappelle further admitted to making false statements on a loan application when he refinanced the mortgage on his Lake Michigan vacation house in Harbor Springs. According to court filings, Chappelle submitted fabricated bank statements to the mortgage company to make it appear as if his company had substantially more money in its account than it actually had. He then falsely blamed another employee of his company for fabricating the bank statements.

In addition to being sentenced to 38 months in prison, U.S. District Judge Jane M. Beckering ordered Chappelle to serve three (3) years of supervised release and pay $1,233,836 in restitution to the United States.

  Thinking of Borrowing From Your Company's
Payroll Tax Withholdings?

You Better Thank Again, if You Like Your Freedom!

 Have Payroll Tax Problems?

 

 Contact the Tax Lawyers at
Marini & Associates, P.A. 

for a FREE Tax HELP Contact Us at:
www.TaxAid.com or www.OVDPLaw.com
or Toll Free at 888-8TaxAid (888-882-9243)