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Former Monahans business owner ordered to pay $1.3M for not paying withholding taxes

George Wayne Johnson withheld tax payments from employee paychecks, but did not pay required payroll tax to the IRS.
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MONAHANS, Texas —

A former Monahans business owner was ordered to pay $1.3 million in restitution Tuesday for not paying withholding taxes for several years.

George Wayne Johnson, 74, of Lawrenceburg, Tennessee, used to own Wayne’s Welding Services in Monahans, according to the United States Attorney’s Office Western District of Texas.

From 2015 to 2018, the company withheld tax payments from its employees’ paychecks, but did not pay over $1.3M in required payroll tax to the Internal Revenue Service.

Additionally, through the company, Johnson spent hundreds of thousands of dollars on his salary and personal expenses.

Special Agent in Charge of IRS Criminal Investigation’s Houston Field Office, Ramsey E. Covington, said the offense is wrong on several levels.

“This is an appalling act, not just because he stole more than a million dollars from our nation, but because he expected his own employees to pay the price for his extravagant lifestyle,” said Covington. “I am proud of our team at IRS CI for the investigative work on this case and I am proud of the unwavering support of the U.S. Attorney’s Office to prosecute those who choose to violate our tax laws.”

On top of the restitution, Johnson was sentenced to five years of probation.

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