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NEW JERSEY ELECTRONICS BUSINESSMAN PLEADS GUILTY TO FILING FALSE TAX RETURNS |
GRANDPA

Rory MurphyDecember 9, 2022

A New Jersey man yesterday pleaded guilty to filing a false personal tax return
based on inaccurate information he knowingly provided to his company’s
accountants.

According to court documents and court testimony, Tiangang Zhuang, 49, formerly
of Philadelphia, controlled and operated Pilestone Inc. and Golden Mermaid,
Inc., both of which were involved in the development and sale of eyewear,
electronics and cosmetics for color blind people. From around 2017 to 2019,
Zhuang provided his accountants with false financial records that intentionally
understated Pilestone’s and Golden Mermaid’s gross earnings. As a result, the
auditors prepared corporate income tax returns for both companies, which
understated their earnings for each of those years. Since the business income
generated by the two companies was included in Zhuang’s personal tax returns, he
minimized the income reported on his personal tax returns and the tax liability
by giving incorrect information to the accountants. For example, in his
individual statement in 2018, Zhuang stated that he earned approximately
$163,769 in taxable income, although he knew he actually received more than
$660,000 that year. Overall, Zhuang caused the IRS to lose about $219,663 in
taxes.

Zhuang is scheduled to be sentenced on March 14, 2023. He faces a maximum
sentence of three years in prison for filing a false tax return. He also faces a
period of supervised release, restitution and fines. A federal district court
judge will determine the sentence after considering US sentencing guidelines and
other legal factors.

Acting Assistant Assistant Attorney General Stuart M. Goldberg of the Department
of Justice’s Tax Division and US Attorney Jennifer Arbittier Williams for the
Eastern District of Pennsylvania made the announcement.

The IRS Criminal Investigation Department is investigating the case.

Deputy Chief Jorge Almonte and Tax Trial Attorney Catriona M. Coppler are
prosecuting the case.

Also read: 3 Pittsburgh Police Officers Fired Accused of Filing False Time Cards
- WPXI



Source


Rory MurphyDecember 9, 2022

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