A Florida businessman was sentenced yesterday to 30 months in prison for willfully failing to pay over employment taxes to the IRS.
According to court documents and statements made in court, Ari Weingrad of Miami owned and operated two car rental companies, Rent Max Miami, Inc. and Rent Max North, Inc., both of which had multiple locations throughout Florida. As the sole owner and CEO of Rent Max Miami, and as the co-owner and president of Rent Max North, Weingrad knew he was responsible for collecting, accounting for and paying over payroll taxes withheld from his employees’ wages to the IRS. Between 2011 and 2016, Weingrad did not pay more than $850,000 in withholdings and employer-share Social Security and Medicare (FICA) taxes owed to the IRS. Instead, he caused Rent Max Miami to spend corporate funds on other items, including a $50,000 cashier’s check to himself, $45,000 worth of cashier’s checks payable to his wife and expenses related to a 55-foot yacht.
In addition to the term of imprisonment, U.S. District Judge K. Michael Moore ordered Weingrad to serve three years of supervised release.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Matthew D. Line of IRS-Criminal Investigation Miami Field Office made the announcement.
IRS-Criminal Investigation investigated the case.
Trial Attorney Patrick Elwell of the Justice Department’s Tax Division and Assistant U.S. Attorney Ana Maria Martinez for the Southern District of Florida prosecuted the case.