LIVERPOOL, N.Y. — The owner of Liverpool Tire has been arrested on felony charges, accused of not paying more than $50,000 in sales tax.
Joseph Pastella, 65, of 3987 Pawnee Drive, Liverpool, was charged with grand larceny in the second degree, four counts of criminal tax fraud in the fourth degree, and 14 counts of criminal tax fraud in the third degree, according to a release from the state Department of Taxation and Finance.
The charges came after an investigation by the New York State Tax Department’s Criminal Investigations Division. According to the release, Pastella underreported sales made at his business, Liverpool Tire Inc., at 312 Oswego St., between March 2013 and August 2017, and kept “at least $57,356” in sales tax he had collected from customers.
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Pastella pleaded not guilty to the charges in the Village of Liverpool Court and was released on his own recognizance. He is due back in court on Aug. 28. If convicted, he could face up to 15 years in prison.
“Sales tax fraud deprives the state and the communities where these businesses operate of revenue needed for vital services, forcing honest taxpayers to shoulder the burden,” Acting Tax Commissioner Nonie Manion said in the release.
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Photo credit: New York State Department of Taxation and Finance
