He failed to report and pay company taxes.
A New Jersey, business owner was sentenced today to 12 months and one day in prison for tax evasion and failure to pay the IRS more than $540,000 in employment taxes.
Wilson Salas-Molina, 41, of Howell, New Jersey, pleaded guilty to information charging him with one count of payroll tax evasion and one count of failure to collect, account for, and pay over payroll taxes.
According to court records, Salas-Molina was the owner and operator of a roofing business. From 2012 to 2018, Salas-Molina was required to withhold and pay to the IRS the employment taxes for employees. Salas-Molina cashed checks he received from roofing clients at a check cashing service and paid his 14 employees in cash to conceal his payment of wages and his failure to report and pay over employment taxes to the IRS. The scheme resulted in a failure to withhold and pay more than $540,000 in taxes to the IRS.
In addition to the prison term, Salas-Molina was ordered to pay $541,181 in restitution to the IRS.