Payroll Tax Fraud Indictment – Wisconsin Man Faces Charges and 92 Years In Prison! Ouch!

February 13, 2008

Daniel D. LaMarch, if convicted, may well spend the rest of his life in prison. The thoughts of dying in prison have to be daunting and LaMarch is facing just that.

A federal grand jury handed down a 20 count indictment against LaMarch for failing to pay over to the Internal Revenue Service payroll taxes that had been withheld from the wages of the employees of Title Services of Green Bay during the period from January 2002 through December 2005. The indictment alleges that during this four-year
period, LaMarch withheld from the wages of the employees of Title Services of Green Bay more than $500,000 in payroll taxes, but that he failed to pay those funds to the IRS, as required by federal law, or to file the quarterly payroll tax returns (Forms 941) that he was required to file reporting the wages, and payroll tax withholdings.

Now, if that’s not bad enough, LaMarch was also indicted on charges of filing false personal tax returns (Form 1040) for he and his wife from 2002 through 2005. According to the indictment, on these returns, LaMarch under reported his income during these four years by more than $500,000 and the he under reported and
under paid his federal taxes by more than $115,000.

Every choice has a consequence. It should be evident by now, regardless of your opinion of the fairness of our tax system, that one cannot avoid filing and paying taxes. Wesley Snipes tried and lost. Sure he was not convicted of fraud, but he was convicted of failing to file and awaits his sentence – which could include prison.

Based on these charges, LaMarch faces up to 92 years in prison and fines of up to $5 million dollars if convicted on all counts.

Chuck Gallagher - The Ethics Expert

As a business ethics and white collar crime speaker, ( I routinely speak to business groups and associations about the Truth About Consequences. It is true…you reap what you sow. In this case, regardless of the motivation, the reality is Daniel D. LaMarch will likely spend many year in federal prison. He will have time to evaluate whether the temporary benefits he might have enjoyed was worth the ultimate costs. Having been there…I can speak from experience. It is not!

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