The operator of Tony’s Pizza House in Protem has been accused of serving up tax evasion and Social Security fraud.
A federal grand jury in Springfield charged Taney County restaurant owner Tony Cowden, 62, with a six-count indictment related to tax evasion of $80,689 between 2010 and 2014, according to a news release from the office of Tammy Dickinson, U.S. attorney for the Western District of Missouri. The indictment was unsealed and made public yesterday upon Cowden’s arrest and initial court appearance.
According to the release, Cowden operated Tony’s Pizza House in Protem since April 2008. The federal indictment alleges Cowden engaged in a scheme to conceal taxable income from the IRS by not depositing all of the proceeds of his restaurant’s cash sales into the restaurant’s checking account and not reporting that cash income to the IRS.
Court document allege Cowden encouraged customers to pay in cash by offering discounts. He then concealed the cash he skimmed from the restaurant from his accountant, evading paying federal income taxes on that revenue.
The indictment also alleges Cowden received Social Security disability benefits while he continued to work at the restaurant by falsely claiming he was not working – instead transferring ownership of the business to his wife. He then reported all income from the business as self-employment income under his wife’s name and Social Security number, according to the release.
In addition, Cowden received Social Security auxiliary benefits for his three minor children contingent on his eligibility to receive disability benefits.
As a result of Cowden’s scheme from January 2014 through December 2015 the government incurred a loss of $70,176, according to the indictment.
This case is being prosecuted by Assistant U.S. Attorney Steven Mohlhenrich and investigated by IRS Criminal Investigation, the Social Security Administration Office of Inspector General and Missouri Department of Revenue.
