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Another Criminal Payroll Tax Prosecution!

Another Criminal Payroll Tax Prosecution!

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.

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