ORLANDO , Fla. — An Orlando man who owns and operates several restaurants in the area is facing a maximum penalty in federal prison for failing to pay over $2 million in employment taxes, according to the United States Department of Justice.
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According to court documents, Manuel Tato, 50, owned several restaurants in the Orlando area – such as Spice Modern Steakhouse - from 2010 to 2017.
Tato owned Core Food Group, an entity responsible for processing payroll for his restaurant’s employees.
The DOJ said Tato had nearly 700 employees in those seven years. He was supposed to collect and pay over employment taxes - Federal Income Tax, Medicare, and Social Security- on behalf of his employees, but never did.
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Officials say Tato withheld employment taxes from his employees every paycheck without ever paying money to the IRS.
Employees were under the impression that their tax withholdings were going to the IRS. However, according to the DOJ, Tato failed to pay the IRS over $100,00 between 2016 and 2017.
According to federal investigators, Tato failed to pay over $2 million in taxes when Core Food Group existed.
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Tato could face five years in federal prison. The Internal Revenue Service Criminal Investigation unit was in charge of the investigation. A sentencing date has not been set yet.
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