Colorado Springs pot shop owner guilty of not paying $3.1 million in taxes
Lazy Lion owners ran “cash business” only
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The owner of a prosperous, but unlicensed, Colorado Springs marijuana business called the Lazy Lion confessed in court that he did not pay $3.1 million in federal taxes as he should have, authorities say.
Andrew C. Poarch, 31, pleaded guilty last week to filing a false federal income tax return, according to a news release by U.S. Attorney Jason Dunn and IRS Criminal Investigation Special Agent in Charge Steven Osborne.
Poarch and his wife, Shuntay Poarch, 31, opened a marijuana business approximately in January of 2013, according to the news release from Jeffrey Dorschner, Dunn’s spokesman.
Shuntay Poarch, who is charged with making a false tax return, is scheduled to go on trial on March 25 in U.S. District Court in Denver.
Between 2013 and August of 2016, customers could go to the store and join a private club by signing a customer agreement. The Lazy Lion, which was never registered as a recreational dispensary, sold membership agreements to members enabling them to buy marijuana. Members initially paid a one-time membership fee and then an entry fee thereafter, the news release said.
Poarch and his wife owned several marijuana grow houses in Colorado Springs that sent the product to the Lazy Lion. Members could buy and smoke marijuana at the store.
The Lazy Lion was a cash-only business. It had an ATM inside the dispensary for customers who didn’t have cash.
The business had gross revenues of $10.8 million, the news release said.
In 2014, Poarch claimed income of only $19,294, when he and his wife actually took in $2.8 million, the news release said. For that year alone, Poarch and his wife owed $1 million in federal taxes, it said.
The couple failed to file personal income tax returns for 2015 and 2016. Their net income for 2015 was $4,187,449, and their net income for 2016 was $1,325,575, the news release said.The owner of a prosperous Colorado Springs marijuana business called the Lazy Lion confessed in court that he did not pay $3.1 million in federal taxes. ]]>