APPLETON, Wis. (WFRV) – The owner and operator of a pizzeria in Appleton pleaded guilty to violating federal tax laws by skimming revenues to pay employees ‘under the table’.
Court filings show that 42-year-old Paul Vanderlinden pleaded guilty to violating federal tax laws. He pleaded guilty to willfully filing a false tax return and failing to truthfully account for and pay over payroll taxes to the IRS.
Vanderlinden is the owner and operator of Muncheez Pizzeria in Appleton. He reportedly skimmed about $800,000 from his business’ receipts between 2012 and 2016. ‘Large’ cash deposits were made to his personal bank account during this time.
He reportedly didn’t include this revenue in his tax returns as well as underreported his gross receipts by at least $130,000 for each tax year. Vanderlinden gave his employees the option of being ‘paid in cash without taxes taken out, or by check with taxes taken out.’
Vanderlinden used a large part of the skimmed revenue to pay his employees ‘under the table.’ He failed to withhold and pay over an estimated $88,000 in payroll taxes between 2012 and 2016.
“This case reflects the strong commitment of the Department of Justice and our federal law enforcement partners to investigating and prosecuting individuals who seek to abuse our tax laws,” said United States Attorney Richard G. Frohling.
Vanderlinden is scheduled to be sentenced on July 7. Local 5 will update this story as more details are released.