Department of Justice Seal Department of Justice
FOR IMMEDIATE RELEASE
THURSDAY, MAY 28, 2009
WWW.USDOJ.GOV
TAX
(202) 514-2007
TDD (202) 514-1888

COURT ORDERS TEWKSBURY, MASS. EMPLOYER TO TIMELY PAY WITHHOLDING AND UNEMPLOYMENT TAXES

Company That Provides In-Home Health Aide Services Has Lengthy History of Failing To Comply with Federal Employment and Unemployment Tax Obligations


WASHINGTON A federal court in Boston issued a preliminary injunction ordering Excel Home Care Inc. and Diane E. Porter of Tewksbury, Mass., to comply with federal tax withholding requirements and to timely pay all future employment and unemployment tax liabilities, the Justice Department announced today.

The Justice Department filed suit on April 15, 2009, seeking a preliminary and permanent injunction order that requires the defendants to comply with all federal employment and unemployment tax filing and deposit requirements. The complaint alleges that the defendants have failed to comply fully with Excel Home Care’s employment and unemployment tax obligations since the fourth quarter of 2005 and the year 2003, respectively.

At the time the complaint was filed, the government alleged that Excel Home Care failed to pay employment taxes for the quarters ending Dec. 31, 2005, through March 31, 2008. It was further alleged that Excel Home Care has failed to pay unemployment taxes for the years 2003 and 2005-2007. In addition, the pleadings state that the Internal Revenue Service (IRS) estimates for each new quarter that Excel Home Care fails to pay its employment taxes the loss of revenue approximates $100,000 and for each year that this entity fails to pay its unemployment taxes, the revenue loss is in excess of $7,000.

The order also prohibits the defendants from making any disbursements or assigning any property outside the ordinary course of business from the date of payment of wages until the amounts which are required to be withheld from the payment of those wages are, in fact, paid to the IRS. In addition, the defendants are required to notify IRS representatives of any new company or business that Ms. Porter owns or manages.

Related Documents:

  United States v. Excel Home Care Inc., et al.

 

 

 

 

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09-522