By Bee Staff
A U.S. District Court judge sentenced a former Rocklin drywall installer today to 28 months prison for failing to pay more than $1 million in taxes.
Benjamin B. Wagner, the U.S. attorney in Sacramento, said that William Roseberry, 59, previously of Rocklin, had earlier pleaded guilty to tax fraud.
Senior U.S. District Judge Lawrence K. Karlton also ordered Roseberry to pay the Internal Revenue Service $1,040,500.36.
According to court documents, Roseberry owned and operated a drywall business in Rocklin, as a sole proprietorship, under the name of Western Wallboard and/or Bustos Drywall between October 2003 and September 2006.
Rosenberry evaded or failed to remit more than $1 million in employment and income taxes owed to the Internal Revenue Service in connection with the 350-plus employees of the drywall business.
Roseberry falsely reported to the IRS that the total wages paid to employees by the drywall business were approximately $229,972.42, and that the total amount of Social Security taxes and Medicare taxes due thereon were approximately $35,185.78, when, in fact, the total wages were the approximate sum of $5,638,917.93, and the corresponding taxes owed were $862,754.44.
In addition, Roseberry collected income taxes from employees in the approximate amount of $236,379.00, but did not pay that amount to the IRS.
"We believe that a substantial portion of the total tax gap, the difference between what is owed and what is paid, involves employee withholdings" said Scott O'Briant, special agent in charge with IRS Criminal Investigations.
This case was the result of an extensive investigation by the IRS-Criminal Investigations, as well as the U.S. Attorney's Office. Assistant United States Attorney S. Robert Tice-Raskin prosecuted the case.
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