A Cogan Station contractor was sentenced to a time-served sentence along with two years probation and 10 months home confinement for failing to pay employment taxes owed by his construction company.

U.S. Middle District Court Chief Judge Matthew W. Brann sentenced James Michael Barr, 69, according to documents in federal court. The sentence also imposed a $5,000 fine on Barr and required him to make restitution to the Internal Revenue Service in the amount of $337,000 plus civil penalties.

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

Assistant United States Attorney Geoffrey W. MacArthur prosecuted the case.

According to Acting U.S. Attorney John C. Gurganus, Barr pleaded guilty in

July 2024, to failing to account for and pay over employment taxes owed by Barr Construction

from 2017 through 2020.

During that time period, in addition to a normal paycheck from which

taxes were withheld, Barr also paid his employees in cash and did not withhold federal taxes

from the cash payroll or remit taxes owed to the Internal Revenue Service.

“Employers have a responsibility to their employees to withhold the proper amount of

taxes and pay those taxes over to the IRS,” said Amy MacNeely, Acting Special Agent in

Charge, IRS-Criminal Investigation, Philadelphia Field Office.