Imperial, PA Daycare Operator Pleads Guilty to Failing to Account for and Pay Over Taxes
(STL.News) A resident of Imperial, Pennsylvania, pleaded guilty in federal court to a charge of failing to account for and pay over payroll taxes to the Internal Revenue Service, United States Attorney Cindy K. Chung announced today.
Rebecca Lynn Boyce, age 43, pleaded guilty to one count before United States District Judge Nicholas Ranjan.
In connection with the guilty plea, the court was advised that from at least 2006 through at least 2019, Boyce owned and operated Cutie Patootie Daycare, a childcare center in Imperial, Pennsylvania. During that period, Cutie Patootie employed staff and withheld payroll taxes from the paychecks of its employees. Cutie Patootie was required to pay over payroll taxes to the IRS on a periodic basis and was required to account for payroll taxes by filing with the IRS on a quarterly basis Form 941, an Employer’s Quarterly Federal Tax Return.
Boyce failed to pay over payroll taxes to the IRS and failed to file any Forms 941 from the quarter ending March 31, 2015, through the quarter ending December 31, 2018. Boyce was informed of her obligation to file Forms 941 and make payroll tax payments during IRS audit and collections activities that preceded the periods charged in the Indictment. Boyce agreed to pay restitution to the IRS in the amount of $299,830.20, plus interest.
Judge Ranjan scheduled sentencing for September 20, 2022. The law provides for a maximum sentence of five years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney David Lew is prosecuting this case on behalf of the government.
The Internal Revenue Service, Criminal Investigation conducted the investigation leading to the Indictment in this case.