A Passaic County man who spent nearly a decade evading federal payroll taxes to fund a lavish lifestyle— including sports cars, luxury goods and exotic vacations — was sentenced Wednesday to four years in prison, federal prosecutors said.
Walter Hass, 63, of Hewitt, previously pleaded guilty to one count of failing to collect, account for and pay payroll taxes, according to the U.S. Attorney’s Office for the District of New Jersey.
U.S. District Judge Evelyn Padin handed down the 48-month sentence in Newark federal court and ordered Hass to pay $3.5 million in restitution.
“Walter Hass spent a decade failing to pay payroll taxes,” U.S. Attorney Alina Habba said in a statement.
“Instead of paying taxes rightfully due to our country, he chose to keep the money for himself to fund his extravagant lifestyle. We will not tolerate such blatant disrespect for the law,” Habba said.
Attorneys for Hass did were not immediately available to comment on the case.
Hass owned and operated a shipping and logistics company in Oakland, Bergen County, under three different names between 2014 and 2022, prosecutors said.
During that period, he failed to turn over more than $3.5 million in payroll taxes to the IRS, using the funds instead for personal purchases including Aston Martins, McLarens, designer watches, high-end clothing, home renovations, and luxury vacations.
IRS Special Agent in Charge Jenifer L. Piovesan said Hass “turned his employees into victims” by misusing funds meant for federal programs.
Beyond the financial fraud, Hass also admitted to faking a cancer diagnosis to delay court proceedings, prosecutors said. He submitted three forged letters from physicians claiming he had medical conditions, including kidney cancer, that prevented him from attending court.
Investigators later determined he had no such illness and had attempted to travel extensively during the delay.
Only after authorities uncovered the ruse did Hass acknowledge his deception, officials said. In addition to prison time and restitution, he will serve three years of supervised release.
Anthony G. Attrino may be reached at tattrino@njadvancemedia.com. Follow him on Twitter @TonyAttrino. Find NJ.com on Facebook.