Construction company owner pleads guilty to underreporting taxes

COLUMBIA, SC (WTOC) - A Bluffton man pleaded guilty Wednesday in federal court in Charleston to failing to pay employment taxes.

Jorge Alberto Nunez, 37, pleaded guilty to willfully failing to truthfully account for and pay over withholding taxes for the fourth quarter of 2006, according to the U.S. Attorney's Office.

Nunez, the owner Jorge's Carpentry Inc., underreported the total wages of his employees for the fourth quarter of 2006 that totaled $140,800 and resulted in $50,134.40 of unreported and unpaid federal employment taxes, including Federal Insurance Contribution Act taxes, according to the U.S. Attorney's Office.

Nunez's underreporting categorized some employees as subcontractors rather than employees, according to the U.S. Attorney's Office. He also underreported the payroll taxes for his company in the way for the first three quarters of 2006, all four quarters of 2007, and all four quarters of 2008.

The government stipulated in the written plea agreement that the total tax loss for sentencing purposes is $455,104.83.

Nunez faces up to a $250,000 and/or imprisonment for five years, plus a special assessment of $100.

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