The New York State Department of Taxation and Finance today announced that the owner of a business that once sold sheds and garages in Broome County has pled guilty to charges stemming from defrauding New York State of more than $100,000 in sales tax.

Christopher DeProspo, 47, formerly of 2733 Jonas Lane, Endwell, NY, pled guilty in Broome County Court to Grand Larceny in the Second Degree, a class C felony, following an investigation by the Tax Department.

DeProspo was the owner and operator of Amish Woodworks, 2909 Old Vestal Road, Vestal, New York, which closed in 2012.  For the time period September 1, 2006 through August 31, 2009, DeProspo failed to remit to New York State $93,382 in sales tax he collected from his customers.  In addition, he intentionally failed to collect $13,717 in sales tax due on products sold by the business.  As a result, DeProspo defrauded New York State of approximately $107,099 in sales tax.

Sentencing is scheduled for December 20, 2013.  DeProspo faces up to fifteen years in state prison, restitution payments for the tax liability, and possible criminal fines.  In addition, he may be obligated to pay substantial interest and civil penalties as a result of the tax fraud. 

“I commend Broome County District Attorney Gerald F. Mollen and his team for prosecuting this case,” said Commissioner Thomas H. Mattox.  “When a business violates its public trust by collecting sales tax, then fails to remit it to the state, it can’t be tolerated.  This is especially egregious in light of the fact that the overwhelming number of businesses voluntarily remit the sales tax they collect, and do so consistently and accurately.”

This case was investigated by the Criminal Investigations Division (CID) of the New York State Tax Department.  CID is comprised of attorneys, criminal investigators and auditors tasked with rooting out violations of the State Tax Law.

In New York State, 96% of taxes are paid by businesses and individuals who voluntarily meet their tax responsibilities. The remaining 4% is collected through the Tax Department's audit, collections and criminal investigations programs. Through its enforcement programs, the Department ensures fair tax administration for all New Yorkers.

___________

Businesses collect nearly $25 billion in sales taxes from their customers each year.  The taxes collected are transmitted to the State Tax Department, which in turn distributes more than $13 billion to local governments.  The remaining funds are used for state programs.