Shelton business owner pleads guilty to over $800K in tax evasion

Guy Smith, a Shelton resident and business owner who is also a professional poker player, has pleaded guilty to one count of tax evasion involving more than $800,000 in gambling winnings.

Smith, who operates commercial interior construction company Centerline Interiors LLC in Milford, admitted to drawing funds from both his business and personal bank accounts for his gambling business, according to John H. Durham, United States Attorney for the District of Connecticut, and Joleen Simpson, acting Special Agent in Charge of IRS Criminal Investigation in New England.

For the 2012 through 2016 tax years, Smith furnished his tax preparer with a summary of Centerline”™s income and expenses, which the tax preparer used to prepare Smith”™s federal income tax returns. Smith did not provide his tax preparer with any bank statements.

During those five years, the feds said, Smith intentionally failed to report to his tax preparer and to the IRS approximately $482,000 in income he received from Centerline Interiors.

In addition, even though the IRS notified Smith on multiple occasions that he was required to report all of his gambling income on his federal tax returns, Smith concealed that income from his tax preparer and paid no income taxes on more than $1 million in gambling winnings.

For the 2012 through 2016 tax years, Smith failed to pay a total of $821,415 in federal income taxes.

Smith is scheduled to be sentenced by U.S. District Judge Michael P. Shea on March 4, 2021, at which time he faces a maximum term of imprisonment of five years. Smith also has agreed to cooperate with the IRS to pay all outstanding taxes, interest and penalties.

Smith has been released on a $50,000 bond pending sentencing.

The case is being investigated by the Internal Revenue Service ”“ Criminal Investigation Division, and is being prosecuted by Assistant U.S. Attorney Michael S. McGarry.