LINCOLN, Neb. -- A Seward woman was put on probation for employment failure to collect or pay over taxes.

Acting US. Attorney Steven Russell said 51-year-old Melissa Grantski, of Seward, was sentenced in Lincoln on Wednesday. She was charged for willful failure to collect or pay over employment taxes and sentenced to five years of probation, 10 weekends of intermittent confinement, $58,403.64 in restitution, and a $100 special assessment. There is no parole in the federal system.

According to court documents, the Internal Revenue Service officers noticed that Grantski had an unpaid tax debt for failing to pay payroll taxes at the beginning of October 2017. Grantski was already on probation for a similar conviction out of Seward County. Investigators unsuccessfully worked with Grantski to come into compliance with tax laws and pay off her tax debt.

Officials said Grantski was the president, secretary, treasurer, and owner of a trucking or hauling business in Seward. She used her control over the business affairs, including authorizing business expenses, authorizing payment of employee paychecks, signing of employee paychecks, approval of payments made by the corporation, and approval of payment of payroll taxes to the Internal Revenue Service (IRS).

Authorities said Grantski was required to withhold taxes from its employees’ paychecks, including federal income taxes, and Medicare and Social Security taxes, commonly called “payroll taxes.” Grantski was required to make deposits of payroll taxes to the IRS on a periodic basis. Grantski was also required to file quarterly tax returns setting forth the total amount of wages and other compensation subject to withholding, the total amount of income taxes withheld, the total amount of payroll taxes due, and the total tax deposits.

According to court documents, Grantski had the authority required to exercise significant control over the corporate financial business affairs of the business, and had the responsibility to collect, truthfully account for, and pay over payroll taxes to the IRS. During seven quarters between 2015 and 2017, Grantski failed to pay over to the IRS payroll taxes due.

Officials said federal tax deductions were made from employees’ paychecks, but Grantski did not forward the taxes to the IRS and did not file the quarterly return. In total, Grantski failed to account for and failed to pay over approximately $58,403.64 in payroll taxes between 2015 and 2017. Prior to sentencing, Grantski paid all of this restitution to the IRS.

This case was investigated by the Internal Revenue Service – Criminal Investigation.