An Iowa woman faces up to five years in prison and a fine of up to $100,000 after pleading guilty to tax evasion.
According to court documents, Penny Layne Witt operated a tree-trimming business under the names Ultimate Tree Service and Spruces Tree Service. She did not keep business records that listed work and gross receipts and did not have business or individual bank accounts. Witt conducted all business in cash and paid her employees in cash.
Witt admitted that she concealed records of gross income received and attempted to evade assessment of federal income tax. She also admitted that she was aware that she owed federal taxes for gross income received for tax years 2016 and 2017 and that she willfully chose not to file returns for those years.