CARLISLE TWP. — A businessman has been indicted for allegedly failing to turn over $71,640 in sales tax money he collected between 2005 and 2010.
Richard Egy, whose company, Egy Mower & Chain Saw Service, has been in the area for years, is charged with theft and six counts each of failure to remit sales tax and incomplete, false and fraudulent returns prohibited.
Assistant Lorain County Prosecutor Dave Muhek said Egy didn’t file tax returns for his business between 2005 and 2010.
He said the Ohio Department of Taxation Enforcement Division launched an investigation into Egy last year after receiving an anonymous tip. Officials with the Department of Taxation declined to comment on the case Tuesday, citing confidentiality rules.
Muhek said the investigation determined that while Egy was collecting sales tax for sales he made at his Hall Road business, he wasn’t turning that money over to the state.
“There was $71,600 in sales tax that was collected and not remitted,” Muhek said.
After the state collects the money, it sends a portion back to the county, which receives a significant portion of its revenue from the sales tax.
According to Lorain County Auditor Mark Stewart’s office, Egy’s company was a county vendor when he is accused of not paying sales tax.
Between August 2005 and Feb. 22, 2012, the county paid the company $7,398.17, county records show.
Most of the payments to Egy’s company were less than $100, but some were more.
Contact Brad Dicken at 329-7147 or firstname.lastname@example.org.