A former New York City resident pleaded guilty today to willfully failing to collect and pay over employment taxes to the IRS on behalf of the temporary employment staffing agency he owned and operated.

According to court documents and statements made in court, Steven Heppenheimer, 73, owned and operated a temporary employment business under two names, PTP Staffing Associates Inc. and PPS Associates Inc. From 2013 through 2017, Heppenheimer did not file any of the required quarterly payroll tax returns. As owner of the company, Heppenheimer was legally obligated to withhold from employee wages and pay over to the IRS payroll taxes, which included Social Security and Medicare taxes and federal income taxes. During that time, Heppenheimer withheld approximately $292,000 in payroll taxes from his employees’ wages, but he did not pay over any of these funds to the IRS.

Heppenheimer is scheduled to be sentenced on Jan. 25, 2023. He faces a maximum penalty of five years prison, as well as a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and U.S. Attorney Breon Peace for the Eastern District of New York made the announcement.

IRS-Criminal Investigation is investigating the case.

Trial Attorneys Ann M. Cherry and Brittney Campbell of the Tax Division are prosecuting the case.