Albany Bar Owner Pleads Guilty To Felony Tax Charge

ALBANY, NY (01/07/2010)(readMedia)-- New York State Department of Taxation and Finance Acting Commissioner Jamie Woodward announced today that the owner of a New Scotland Avenue bar recently pled guilty to a felony tax fraud charge.

Andy Kung, 45, of Slingerlands, and owner of Andy's Sports Bar & Grill on New Scotland Avenue in Albany, pled guilty to one count of Offering a False Instrument for Filing in the First Degree. As part of his plea, Kung will pay $56,000 in restitution to the state. He will be sentenced on February 16, 2010.

The Tax Department investigation of Kung and his sports bar turned up evidence that Kung had charged his customers sales tax on the food and drink he served, but failed to turn over the money he collected to the state, which then distributes a portion of the collected taxes to Albany County.

Acting Commissioner Woodward said, "The Tax Department, with support of county prosecutors around the state, is aggressively pursuing business owners who pocket sales tax dollars that they collected from their customers. By misappropriating the tax dollars these scofflaws not only cheat their customers but they also force all New Yorkers to shoulder a greater share of the tax burden, taxes that pay for essential services such as health care, education and transportation. I wish to thank the office of Albany County District Attorney David Soares for their assistance in this case."

"This criminal prosecution is the results of the departments' substantial increase in its commitment to criminal tax enforcement. Delinquent taxpayers who are not yet under audit or investigation are encouraged to avoid penalties or criminal prosecution by participating in the department's Voluntary Disclosure and Compliance Program. For more information about these programs, go to the Department's website at www.nystax.gov."

The case against Kung was investigated by the department's Criminal Investigations Division Albany office.

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