Durham Man Pleads Guilty To Tax Fraud: Feds

DURHAM, CT — A Durham man pleaded guilty Monday to a tax offense related to his filing of false tax returns for his business in West Haven, according to authorities. Williams Scalzi, 61, waived his right to be indicted and pleaded guilty in Bridgeport federal court, U.S. States Attorney for Connecticut John H. Durham and Kristina O’Connell, Special Agent in Charge of IRS Criminal Investigation in New England, announced in a joint press release.

According to court documents and statements made in court, Scalzi, the owner of Transportation General, Inc., of West Haven, understated his taxable income by running personal expenses through his company.

“Scalzi used his company’s credit cards to pay for numerous personal expenses, which were deducted as business expenses on Transportation General’s corporate tax returns,” according to the press release. “He also did not include these personal expenses as income on his personal tax returns for the 2007 through 2010 tax years.”

Scalzi pleaded guilty to one count of subscribing a false tax return, an offense that carries a maximum term of imprisonment of three years. Scalzi also has agreed to make $297,319.31 in restitution to the IRS, which will satisfy his criminal and civil tax liabilities for the 2007 through 2010 tax years, authorities said. A sentencing date is not scheduled.