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Owner of Haunted House Supply Company Faces Five Years in Prison

[vc_row][vc_column][vc_column_text]He withheld taxes from his employees but failed to pay more the than $500,000 to the IRS.

 The owner of a haunted house supply company pleaded guilty to failing to pay taxes to the IRS.

According to court documents, David Fachman, 59, of New Albany, Ohio, owned and operated The Scarefactory, a haunted house and special effects supplier in Columbus, Ohio.

As the owner, Fachman always maintained financial and administrative control over the business. From at least January 1, 2015, and continuing until in or about December 31, 2018, Fachman withheld and collected the trust fund portion of the employment taxes from his employees’ paychecks but failed to file timely and to remit the payment to the IRS.

Scarefactory was required to make deposits of the federal employment taxes to the IRS for all employees on a periodic basis.

For example, on October 31, 2018, Fachman had an obligation to file a Form 941 and pay over $26,226.02 in employee withheld federal employment taxes.

Fachman failed to file timely and to pay $26,226.02 of those taxes over to the IRS.

In total, Fachman failed to pay over employee and employer federal employment taxes totaling $547,854.73.

He faces up to five years in prison and a fine of up to $250,000.[/vc_column_text][us_image image=”3024″][/vc_column][/vc_row]