A Maryland man appeared in federal court for the first time yesterday after being charged with 16 counts of willful failure to collect, report and pay payroll taxes to the IRS.
According to the indictment, Brett Hill of Parkton owned and operated two telecommunications companies and was responsible for collecting and paying income, Social Security and Medicare taxes withheld from the wages of employees at both companies. Hill allegedly collected such taxes from employees of the two companies, but did not pay those taxes to the IRS or file quarterly payroll tax returns. In total, Hill failed to pay the IRS approximately $900,000 in payroll taxes related to the two companies.
If convicted, Hill faces up to five years in prison for each of the 16 counts of willful failure to collect or pay payroll taxes. A federal district court judge will determine the sentence after considering US sentencing guidelines and other legal factors.
Acting Assistant Assistant Attorney General Stuart M. Goldberg of the Department of Justice Tax Division and US Attorney Erek L. Barron for the District of Maryland made the announcement.
The IRS Criminal Investigation Department is investigating the case.
Trial Attorneys Shawn Noud and Catriona Coppler of the Department of Justice’s Tax Division are prosecuting the case.
An indictment is merely an allegation, and all accused are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.