Home Health Care Business Owner Pleads Guilty to Employment Tax Fraud
A former Kansas businessman man pleaded guilty today to employment tax crimes.
According to court documents, starting in approximately 2010, Lance Ashley was the sole owner and operator of Ashley Home Care Services (AHCS), an Overland Park home health care business that provided daily living services to individuals. Ashley was responsible for all financial matters relating to AHCS, including handling the company’s payroll and collecting and paying over employment taxes to the IRS. From 2013 through 2016, however, AHCS did not pay all the employee withholdings it collected to the IRS. Rather, Ashley used some of the funds to pay corporate expenses and a number of his personal expenses. After the IRS began collecting AHCS’s unpaid taxes in 2016, Ashley provided fraudulent bank records to the IRS and did not fully disclose his bank accounts. In all, Ashley’s conduct caused a tax loss to the IRS of approximately $321,476.
Ashley is scheduled to be sentenced on June 6 and faces a maximum penalty of five years in prison. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Duston J. Slinkard for the District of Kansas made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorney Julia Rugg of the Tax Division and Assistant U.S. Attorney Ryan Huschka of the U.S. Attorney’s Office for the District of Kansas are prosecuting the case.