Kathryn Pocock, Tax Evasion, Connecticut 2021

Kathryn Pocock, a 59-year-old business owner from Uncasville, Connecticut, was sentenced to 12 months and one day of imprisonment for tax evasion. Pocock's sentence was handed down by U.S. District Judge Jeffrey A. Meyer in New Haven on 2021.

Between 2015 and 2019, Pocock withdrew approximately $855,000 from her business, Sunshine Cleaners, LLC, a home cleaning business, and failed to report those proceeds on the relevant tax forms for the business and on her federal income tax returns. The investigation revealed that Pocock regularly cashed numerous client checks that had been paid to her business, deposited some checks into her personal bank account, and paid her employees 'under the table.'

Pocock wrote checks payable to cash from her personal and business bank accounts, and paid employees in cash without properly collecting and paying over employment tax to the IRS or sales and use taxes owed to the State of Connecticut. The investigation also revealed that Pocock provided her tax preparer with false spreadsheets and supporting documentation that significantly understated her income and employee-related expenses.

Pocock's criminal conduct resulted in a total tax loss of $213,965, comprising unreported taxes of $180,451 owed to the IRS and $33,514 owed to the State of Connecticut. Judge Meyer ordered Pocock to pay full restitution.

Pocock pleaded guilty to the offense on September 15, 2021. This investigation was conducted by the Internal Revenue Service, Criminal Investigation Division. The case was prosecuted by Assistant U.S. Attorneys Christopher W. Schmeisser and Katherine E. Boyles.

Defendant's Information:

Defendant: Kathryn Pocock
Criminal Charges: Tax Evasion
City, State: Uncasville, Connecticut
Crime Date: 2015-2019
Sentence: 12 months and one day of imprisonment, followed by one year of supervised release
Dollar Amounts: $213,965 (total tax loss), $180,451 (unreported taxes to the IRS), $33,514 (unreported taxes to the State of Connecticut)

Source: https://www.justice.gov/usao-ct/pr/uncasville-business-owner-sentenced-prison-tax-evasion