United States v. Tomko

William Tomko (defendant) owned a plumbing business. Tomko instructed subcontractors who were working on his mansion to falsify invoices so that it appeared the work was actually done at one of his business’s jobsites. The costs were then illegally deducted from his taxes as business expenses. This scheme resulted in a $228,557 tax deficiency. Tomko pleaded guilty in federal district court to one count of tax evasion. The Federal Sentencing Guidelines (the guidelines) recommended Tomko be sentenced to imprisonment for 12 to 18 months. At his sentencing hearing, Tomko argued that the district court should not sentence him to imprisonment. Tomko provided evidence of his history of charitable work and suggested that he could instead be sentenced to helping Habitat for Humanity. Tomko also offered evidence that his business would likely fail if he were imprisoned, and several hundred employees could lose their jobs. The government (plaintiff) did not contest Tomko’s factual claims. The government instead asserted that greed was Tomko’s motivation rather than a charitable spirit. The court reviewed the sentencing factors and decided not to include imprisonment in Tomko’s sentence but did add terms such as full restitution and a significant fine. The court explained its reasons for varying from the guidelines. The court considered Tomko’s lack of criminal history, community ties, and history of charitable works. The government appealed.