ST. LOUIS — A St. Charles County business owner was sentenced Tuesday to 21 months in federal prison for using more than $3 million in employees’ tax money for college tuition and mortgage payments on two houses.
Jeffrey M. Bauza, 55, of Weldon Spring, was also ordered to pay back the $1.4 million he still owes in taxes.
Bauza owned two truck driving schools and for seven years, between 2012 and 2019, he did not give the Internal Revenue Service the tax money he withheld from his employees' paychecks, according to prosecutors.
He instead used part of the $2.3 million he withheld from employees’ paychecks for college tuition for one of his children and for mortgage payments on his home, as well as a vacation home in Florida. He also failed to pay $1 million in employer contributions to the IRS, prosecutors said.
Bauza pleaded guilty in November to one count of willful failure to collect or pay tax.
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“Mr. Bauza was aware of his payroll tax obligations. But instead of paying the funds he withheld from employee paychecks to the IRS, he used them to pay for his primary residence, a vacation home in Florida, a luxury vehicle, and private university tuition”, said Thomas F. Murdock, IRS Criminal Investigation Special Agent in Charge.
