Carl Justin Gage, Tax Evasion, Missouri 2010

A Taney County business owner has pleaded guilty to failing to pay over $490,000 in taxes he withheld from his employees’ paychecks.

Carl Justin Gage, 41, of Ridgedale, Mo., pleaded guilty to a federal information charging him with willful failure to pay over taxes in federal court.

Gage owned and operated multiple businesses in Taney County, including Eagle Construction and Excavating, LLC, Gage Excavating, LLC, Gage Family Entertainment, LLC, and Hollister Pizza Company, LLC.

The total tax harm, including the employer’s matching portions, due from the four corporations is $490,227. Gage admitted he was aware of these requirements and willfully did not pay over the tax even though he withheld the taxes from the employees’ paychecks.

According to today’s plea agreement, Gage hired a bookkeeper to manage the finances of his businesses, including the payroll and preparation of payroll tax returns. The bookkeeper notified Gage of the payroll tax due and owning, but Gage willfully made the decision each quarter to not pay over the taxes withheld from his employees’ paychecks to the Internal Revenue Service.

The scheme took place over several years, with Gage willfully failing to pay over $62,830 in taxes for Gage Family Entertainment between the fourth quarter of 2010 and the first quarter of 2012, $176,573 for Gage Excavating between the third quarter of 2008 and the second quarter of 2010, $48,821 for Eagle Construction and Excavating, LLC between the third quarter of 2010 and the fourth quarter of 2011, and $25,113 for Hollister Pizza Company between the fourth quarter of 2008 and the third quarter of 2010.

Under federal statutes, Gage is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.

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