Income Tax
Bar owner charged with tax evasion & fraudulent wage reporting
The charges claim that between January 1, 2006 and April 15, 2007, he spent more than $533,000 on "personal expenses" on a credit card, but only had reported income of $188,000.
Jan. 29, 2013
A Morgantown, West Virginia nightclub owner has been charged with attempted tax evasion.
David Rees was charged by the U.S. Attorney’s office with “attempting to evade or defeat tax and falsifying a tax return,” according to the Morgantown newspaper, the Dominion Post. Rees is listed as the president and co-owner of AKA Enterprises, according to the state’s Secretary of State’s office and the state alcohol licensing agency. AKA does business as Bent Willey’s, a Morgantown nightclub.
What tipped off the feds? The charges claim that between January 1, 2006 and April 15, 2007, he spent more than $533,000 on “personal expenses” on a credit card, but only had reported income of $188,000.
He is also accused of filing a false Form 941, which employers use to report the wages and withholdings of their employees. He allegedly preferred to pay his staff in cash.
The Dominion reported that attempts to reach his lattorney or other partners in the business were unsuccessful.