Watsonville Tax Preparer Convicted of Grand Theft, Embezzlement

A Watsonville tax preparer whose business practices have been under scrutiny for several years was convicted this week on two counts of grand theft and one count of embezzlement, all felonies, Watsonville police reported.

Jason Haas, 35, was providing payroll services for two San Jose-based businesses, but skimmed money and failed to pay the companies' payroll taxes, police said. He operated Payroll Management Services from his home on Rio Del Pajaro Court in Watsonville.

The investigation began in June 2011 when the owner of A Bite of Wyoming, a San Jose restaurant, was contacted by the IRS about falling $30,000 behind on payroll taxes. The owner connected the debt to Haas and reported him to San Jose Police. The case was passed on to Watsonville police detectives to investigate Haas's company, according to police. 

Watsonville Police Detective Charles Bailey took on the case.

A year later, a second company that had been victimized by Haas came forward. The owner of Royal Coach Tours in San Jose said Haas had taken over $520,000 which left the business delinquent with the IRS as well, police reported.

Bailey linked the crimes to Haas' Watsonville home and arrested the tax preparer in November.

Haas was in court Tuesday, where he was convicted of three felonies and sentenced to 4 years, 8 months in state prison, Watsonville police reported. He also must pay $550,000 in restitution.