Berks company owner accused of keeping $45,000 in income taxes withheld from workers' pay

Steven Henshaw, Reading Eagle, Pa.
·2 min read

Jan. 11—The owner of a Shillington demolition company faces criminal charges that he failed to pay $45,000 in income taxes withheld from employees over several years, costing school districts and municipalities tens of thousands of dollars, according to a criminal complaint.

Jonathan Wise, 37, of Alsace Township was to have his initial court appearance on the charges this week before District Judge Eric J. Taylor in West Reading, but the hearing was rescheduled for February. Wise remains free pending the hearing on six counts of theft by failure to make required disposition of funds and 20 counts of willful failure by an employer to collect income tax.

Attorney Jason Confair has been appointed by Berks County District Attorney John T. Adams as a temporary assistant district attorney to prosecute the private criminal complaint filed by the Berks Earned Income Tax Bureau against Wise and his company, J. Wise & Co. LLC, under the Local Tax Enabling Act.

The Wyomissing-based tax agency collects income and certain other taxes for school districts and municipalities in Berks.

In the probable cause affidavit, Confair alleged the company has failed to pay more than $45,000 in taxes that was reported in quarterly and annual reporting to the bureau as having been withheld and paid.

"It is clear that J. Wise and its agency were fully aware of their obligations to withhold taxes from employees, file corresponding tax returns and pay taxes, as evidenced by the fact that J. Wise did in fact file tax returns for certain quarters and years," Confair wrote in the affidavit.

As company president and CEO, Jonathan Wise had primary responsibility for making sure the company filed tax returns and paid taxes withheld from employees to the bureau, Confair stated.

During each of six separate calendar quarters in 2014, 2016 and 2017, the complaint alleges, J. Wise withheld more than $2,000 in taxes. The tax returns filed by the company were rendered false because they stated the withheld taxes were paid when they were misappropriated, prosecutors said.

Wise received dozens of notices about the tax delinquencies over the years, officials said.

According to the affidavit, Wise has operated the company since 2010.