IRS problems aren't as complicated as they look once you see the structure. I'm attorney Darrin Mish. I've represented taxpayers before the IRS for three decades — in Florida, Colorado, Texas, and internationally. Here's the plain-English breakdown.
Restaurant owners in Wisconsin are in some hot water with the IRS. The owners of El Beso, El Fuego, and Omega Burger have been charged with violating tax laws. The family that owns it now faces 33 charges in total.
The IRS claims that the family knowingly under-reported sales and used the extra funds to build up a reserve of money and silver. The family is said to have skimmed cash from restaurant receipts and paid their employees in cash to avoid the eye of the IRS. The government says that the family did not deposit all of their funds into bank accounts to intentionally defraud the government.
The total amount under-reported is alleged to be approximately $1.2 million. Much of that money was kept in cash or used to buy valuables such as jewelry and bars of silver.
There is a completely separate investigation into Gus Koutromanos who is the part owner of the Omega Burger restaurant for tax evasion. He is also said to have paid employees in cash and to not have taken out income taxes and other taxes necessary by law. The IRS has brought charges against all of these individuals and seeks to correct what it says was wrong.
Check out more IRS News stories by clicking that link.