Wisconsin business owner faces prison time for over $1 million in unpaid employment taxes
Jan 14, 2025
(WFRV) - On January 8, 2025, Douglas Larson, owner of Mods International, accepted a guilty plea for failing to pay employment taxes to the Internal Revenue Service (IRS).
According to a press release from the Eastern District of Wisconsin U.S. Attorney's Office, Larson's issues with the IRS date back to November 15, 2024, when a legal document was filed stating he hadn't paid taxes from January 2018 to September 21, 2021.
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The release says during this period, he withheld about $396,082.77 in taxes from his employees' paychecks but failed to pay this amount to the IRS.
Larson operated a business that manufactured and installed buildings made from shipping containers. The DOJ says the plea agreement revealed that he and his related company did not pay employment taxes both before and after the stated period, leading to a total tax loss of $1,102,805.13.
The DOJ's release says Larson is scheduled for sentencing on April 4, 2025, at 10:30 a.m., where he could face up to five years in prison, a fine of up to $250,000, and three years of supervised release after serving his sentence.
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The investigation was carried out by the IRS Criminal Investigation Division, and the case is being prosecuted by Assistant United States Attorney Zachary J. Corey.
No other information was provided.