It pays to pay your taxes. (Biz Buzz).(Brief Article)(Statistical Data Included)

Be sure to pay your taxes. A cautionary tale about a San Jose man who didn't pay his federal income taxes -- and then delayed paying them when the IRS caught up with him -- surfaced in U.S. Tax Court in Washington, D.C., late last month.

In a ruling issued Nov. 28, Judge Renato Beghe ordered Anthony Hart of San Jose to pay a $15,000 penalty on top of the $38,370 in back taxes he owed.

According to the ruling, in 1998 Mr. Hart had worked for the Quicksilver Group, a software consulting firm, which did not withhold taxes from Mr. Hart's wages.

The ruling says that Quicksilver, which the same year merged with Racotek, a Minneapolis-based wireless company, filed a W-2 on Mr. Hart showing he'd earned $105,873 in 1998. Mr. Hart "demanded that his employer file an amended form W-2 stating he had received no wages, tips or other compensation," writes Judge Beghe. Quicksilver refused to do that.

Meanwhile, Mr. Hart told the Internal Revenue Service that he had not received any wages, tips or other compensation for the year. He also filed an unsigned 1040 showing no income or tax ...