A Texas entrepreneur has admitted to a series of employment tax violations that have significant repercussions for his workers and U.S. taxpayers. According to a recent announcement made by the U.S. Attorney's Office, Joseth "Joe" Limon, from Harris County, pled guilty to failing to pay over $8.8 million in employment taxes accumulated by his company, Platinum Employment Group Inc., which provided labor to businesses in Houston.
Between 2013 and 2018, Joe's company, according to its own payroll records, failed to file employment-tax returns or remit required taxes, which are integral for funding federal programs like Social Security and Medicare. Acting Deputy Assistant Attorney General Karen E. Kelly and U.S. Attorney Nicholas J. Ganjei indicated that these actions undermine the financial apparatus that supports government operations. After shuttering Platinum, Limon surreptitiously established another labor-staffing firm, Rockwell Staffing LLC, registering it under his teenage daughter’s name. When the IRS investigated, Limon, directed his daughter to sign an affidavit falsely claiming Rockwell was a victim of identity theft, in an attempt to evade tax liabilities, as reported by the U.S. Attorney's Office.
Limon, scheduled for sentencing on August 6, could face a maximum of five years behind bars and other potential penalties, including supervised release, restitution, and monetary fines. The sentencing will be determined by a federal district court judge taking into account the U.S. Sentencing Guidelines along with other statutory factors, as noted by the U.S. Attorney's Office.
IRS Criminal Investigation is behind the case probe, while Trial Attorney Curtis Weidler of the Tax Division and Assistant U.S. Attorney Shirin Hakimzadeh for the Southern District of Texas are leading the prosecution. As quoted by the Department of Justice, the admission of guilt ensures that Limon will face the upshot of his actions, affirming the principle that all employers, irrespective of size or industry, is bound by the law to pay their fair share of taxes, as per the U.S. Attorney's Office.
