Crime & Safety

Northford Man Gets 18 Months in Prison For Failing to Pay Thousands of Dollars in Taxes

As part of his sentence a federal judge also ordered Philip Ney, of Northford, to pay back $192,000 in taxes, fees and penalties.

 

A local resident who failed to pay taxes on $640,000 in income he earned over a four-year period was sentenced in federal court Thursday to 18 months of imprisonment.

, owned and operated a home improvement business, Empire Restoration Company, which also provided roofing and snow plow services.

Find out what's happening in North Branfordfor free with the latest updates from Patch.

Ney pleaded guilty last November to one count of filing a false federal income tax return, after IRS determined he underreported his income between 2004 and 2008, officials said. Apart from the jail time, he also agreed to pay $192,671 in back taxes plus penalties and interest for the underreported funds over those four years.

Over the 2004-2008 period, federal officials said Ney took part of his income and deposited it into a passbook savings account. When it came time to file his taxes, he did not provide his tax preparers with information related to $640,581 in business income that he had deposited into three separate savings accounts.

Find out what's happening in North Branfordfor free with the latest updates from Patch.

According to a U.S. Justice Department news release, Ney underreported the actual amount of his income each year.

He claimed that in 2008 he made $529,934 and paid $28,544 in taxes, when inreality he actually grossed $771,615 and should have paid $107,377 in income taxes.

Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.