Cary businessman pleads guilty to failing to pay over $1M in taxes over four years [The News & Observer (Raleigh)]

A businessman who evaded federal taxes for four years, faces up to five years in prison after pleading guilty to bilking the federal government out of over $1 million.

Court documents show in 2018 Arturo Barcenas Gonzalez, referred to as Barcenas, filed a fake 2017 federal income tax return that hid over $300,000 in business receipts.

That same year, Barcenas stopped filing taxes but continued to generate more than $1 million in income per year though 2022, investigators said.

He is the owner of the retail insurance company Barcenas Insurance Agency and Barcenas Financial Services, a state and federal tax return business in Cary.

Barcenas Insurance Agency offers and sells traditional insurance policies. It also registered and titled cars for people in the United States without authorization by using fictitious business name certificates filed with the register of deeds, a news release stated.

Last May, the IRS searched Barcenas’ business offices and found multiple income-establishing business records that Barcenas said he did not have.

To avoid assessment or collection from the IRS, Barcenas titled assets in other people’s names, deposited business proceeds into personal accounts and made extensive use of cash to evade filing, according to the release.

U.S. Attorney Michael Easley Jr. said in the release that Barcenas “padded his personal accounts with money” while taxpayers pay their fair share in taxes each year.

“Businessmen making millions can’t use tax scams to dodge paying their share and leave law-abiding citizens to shoulder the burden,” Easley said.

Barcenas pleaded guilty to one count of tax evasion and, in addition to a maximum five years In prison when sentenced, will pay a $250,000 fine and serve three years of parole.

He will also pay an undetermined amount of restitution to the IRS.

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