September 23, 10

NEWS / Idaho Businessman Sentenced to 12 Months in Prison for Failure to Pay Employment Taxes

WASHINGTON – Roberto Trevizo Corral, a resident of Nampa, Idaho, was sentenced to 12 months and one day in prison and ordered to pay $771,252.11 in restitution for failing to collect and pay over employment taxes, the Justice Department and Internal Revenue Service (IRS) announced today.

According to court documents, Corral was the President of AG Services Inc., also known as Corral Agriculture Inc. (AG/Corral), which was an agricultural employer in Idaho that provides agricultural labor to area farmers. During calendar year 2004 through Jan. 31, 2005, Corral willfully failed to truthfully account for and pay over withheld income taxes and Federal Insurance Contributions Act (FICA) tax owed on behalf of AG/Corral and its employees.

Corral admitted that he was responsible for paying over all of the payroll taxes his corporation was required to pay to the IRS, including AG/Corral’s matching share of FICA tax, for calendar years 2002, 2003, 2004 and 2005. He admitted that he failed to pay over in excess of $700,000 in employment taxes.

Acting Assistant Attorney General John A. DiCicco of the Justice Department’s Tax Division commended the efforts of the special agents from IRS Criminal Investigation who investigated the case, as well as Tax Division trial attorneys Christopher S. Strauss and John P. Scully, who are prosecuting the case. Acting Assistant Attorney General DiCicco also thanked the U.S. Attorney’s Office in Boise, Idaho, for its support in this matter.

http://www.justice.gov/opa/pr/2010/September/10-tax-1065.html

Tags: criminal investigation, document, corporation,