Vienna Man Pleads Guilty to Tax Fraud

Defendant fraudulently obtained over $267,000 by underreporting his income to the IRS

CHARLESTON, W.Va. – Timothy Nolan, 58, of Vienna, pled guilty to the felony offense of tax fraud, announced United States Attorney Mike Stuart. Nolan faces up to three years in prison, a $250,000 fine and one year of supervised release when he is sentenced on November 23, 2020. He also will be subject to an order of restitution for $267,786.42, with the final determination to be made by the court at sentencing.

“Nolan schemed and defrauded the IRS for several years to the tune of more than $267,000,” said United States Attorney Mike Stuart. “Up to three years in a federal prison, a $250,000 fine and full restitution of nearly $268,000. Tax obligations are not voluntary. No one likes paying taxes but tax payments are not optional.”

Nolan admitted that he would underreport his income on his personal income taxes. Specifically, in 2015, he reported to the IRS he had a taxable income of $17,788 when he actually had a taxable income of over $200,000. When Nolan fraudulently reported his income, he verified through a written declaration that was filed under the penalty of perjury that the return was accurate. Nolan significantly underreported his personal income for the tax years 2013 through 2016, and signed declarations to the IRS to that effect. Nolan also underpaid his employment taxes (Form 941) for his employees from 2013 through 2017 and did not pay workers compensation premiums for unreported and underreported wages. Nolan admitted the total amount of income wrongfully withheld was $267,778.42.

The investigation was conducted by the Department of the Treasury, the Internal Revenue Service-Criminal Investigation (IRS-CI), the United States Department of Justice Tax Division and the West Virginia Office of the Insurance Commissioner.

United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Erik S. Goes is handling the prosecution.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:20-cr-00136.

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