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Justice News

Department of Justice
U.S. Attorney’s Office
Western District of Pennsylvania

FOR IMMEDIATE RELEASE
Tuesday, May 1, 2018

Pennsylvania Painting Company Owner Admits Filing a False Tax Return

PITTSBURGH – A Pennsylvania businessman pleaded guilty in federal court to a charge of filing a false tax return, United States Attorney Scott W. Brady announced today.

Daniel Spatara waived indictment and pleaded guilty to one count before United States District Court Nora Barry Fischer.

In connection with the guilty plea, the court was advised that Spatara filed a false 1040 income tax return for 2012. In his 2012 return, the defendant falsely stated that he had business income of $57,612, on line 12, whereas, as he then and there knew, he had substantial additional business income. In addition to the 2012 false tax return charged in the Information, the defendant also filed false tax returns for 2010 and 2011.

Daniel Spatara owned a painting business located in Grove City, Pennsylvania. He reported his business activities on Schedule C attached to his individual tax returns for years 2010, 2011 and 2012. During these years, the defendant under reported $144,350.00 of business receipts. Daniel Spatara’s failure to report these receipts resulted in a tax loss of $40,681 for 2010, 2011 and 2012.

Judge Fischer scheduled sentencing for September 11, 2018 at 11 a.m. The law provides for a maximum total sentence of 3 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.

Assistant United States Attorney Mary McKeen Houghton is prosecuting this case on behalf of the government.

The United States Internal Revenue Service, Criminal Investigation, conducted the investigation leading to the conviction in this case.

Topic(s): 
Tax
Updated May 1, 2018