A Fort Smith businessman has pleaded guilty to charges related to failing to pay federal income taxes, a U.S. attorney’s office has said.
George Avlos, 45, pleaded guilty Wednesday before U.S. District Court Chief Judge Paul K. Holmes III to a two-count information alleging that he failed to truthfully account for and and pay withholdings to the Internal Revenue Service and failed to file a tax return, according to a statement by U.S. Attorney for the Western District of Arkansas Conner Eldridge.
Avlos, the owner and president of LinLex Inc., which provides consulting services about Department of Transportation regulations, withheld payroll taxes from workers’ paychecks but failed to remit all the necessary payments to the Internal Revenue Service in 2007 and 2008, according to court records.
Between March 2007 and September 2008, LinLex also failed to file quarterly employment-tax returns on time, court documents say. The Form 941s were due at the end of the month after each quarter concluded.
Avlos also failed to file a personal income-tax return for 2006, a year in which he earned about $199,489, Eldridge said in the statement.
For both counts, Avlos faces a maximum of six years in prison and fines of $350,000, and he may be liable for restitution in the amount of the unpaid taxes, Eldridge said.
Avlos and his wife filed for Chapter 7 bankruptcy protection in March 2012, according to Arkansas Democrat-Gazette records.