Woodinville Auto Repair Firm Charged with Filing False Tax Return
SEATTLE, Sept. 23, 2010 – A Woodinville sports car repair shop has been charged with filing a false tax return in connection with failing to report nearly $187,000 in sales tax collected from customers.
Woodinville Sports Car, Inc. was charged as a corporation by the Financial Crimes Unit of the Attorney General’s Office at the request of the Washington State Department of Revenue. The company has already made $264,753 in restitution, including the unpaid taxes, penalties and interest.
According to the charging papers filed in King County Superior Court, the owner of the business admitted reporting less than 40 percent of his taxable business between 2004 and 2009 and diverting sales tax to pay his bills, a felony under state law. The underreporting was uncovered through a Department of Revenue audit.
Arraignment was set for 8:30 a.m. Oct. 6.
The maximum penalty for filing a false tax return is a $10,000 fine.
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