Seattle Restaurant Owner Sentenced for Tax Evasion

A federal court sentenced the owner of Single Shot to 13 months in prison for failing to pay payroll taxes.

Updated on Oct. 28, 2026 in Financial Crime

Seattle Restaurant Owner Sentenced for Tax Evasion

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A federal judge sentenced Ruadhri McCormick to 13 months in prison after he failed to remit $1,446,341 in payroll taxes to the Internal Revenue Service over a decade. McCormick operated the Seattle restaurant Single Shot and withheld funds from 87 employees without paying the mandatory taxes.

Why it matters

The case highlights the severity of payroll tax fraud, as the owner prioritized personal spending on gambling and home improvements over tax obligations. This illegal activity impacted 87 workers whose withheld wages were never properly reported or paid to the government.

A federal court sentenced Ruadhri McCormick to 13 months in prison and ordered $1,446,341 in restitution. He also faces three years of supervised release.

The players

Ruadhri McCormick

He is the owner and operator of the Seattle restaurant Single Shot.

The details

McCormick funneled nearly $400,000 into a Vashon Island home remodel, $125,000 into gambling, and $38,000 into travel rather than paying quarterly taxes. He additionally failed to file personal income tax returns from 2015 through 2024.

The tax evasion occurred between 2014 and 2024.
Personal income tax returns were not filed from 2015 through 2024.
The sentencing hearing took place on October 26, 2026.

Legal Context

This case follows standard federal enforcement patterns regarding violations of Internal Revenue Service federal payroll tax obligations. Such prosecutions underscore the legal requirement for employers to remit withheld employee taxes promptly.

This case serves as a reminder of the legal responsibilities businesses have toward their employees' tax withholdings. Residents should be aware that failing to remit payroll taxes constitutes a significant federal offense with severe criminal penalties.

The takeaway

Business owners must ensure that all payroll taxes are remitted to the government as required by law. Diverting funds meant for taxes into personal luxury spending carries a high risk of federal prosecution and prison time.