Middlefield Man Sentenced to Prison for Filing False Tax Returns
John H. Durham, United States Attorney for the District of Connecticut, announced that MICHAEL CALLAN, 70, of Middlefield, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to six months of imprisonment, followed by one year of supervised release, for filing false tax returns that substantially underreported his income.
According to court documents and statements made in court, Callan is an emergency response consultant who operates Callan & Company, based in Middlefield, and the website MikeCallan.com. Callan was audited by the Internal Revenue Service in May 2015. At the time of the audit, Callan had not filed federal income tax returns for the 2010 through 2015 tax years. Callan subsequently signed and filed individual federal income tax returns for the 2010 through 2012 tax years that significantly underreported the income he received from his business. The returns were then filed by his tax preparer.
For 2010, Callan reported $151,533 in total income from Callan & Company, but actually earned $217,925; in 2011, Callan reported $146,071 in total income from Callan & Company, but actually earned $219,094, and in 2012, Callan reported $160,558 in total income from Callan & Company but actually earned $257,745.
Callan also received more than $276,000 in total income from Callan & Company for the 2013 through 2015 tax years, but failed to file a return for each of those years.
Callan owes the IRS $263,172 in back taxes, interest and penalties.
On May 29, 2019, Callan pleaded guilty to one count of filing a false tax return.
Callan, who is released on bond, is required to report to prison on February 26, 2020.
This matter was investigated by the Internal Revenue Service – Criminal Investigation Division. The case was prosecuted by Assistant U.S. Attorneys Lauren C. Clark and Michael S. McGarry.