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Charges: Otsego cleaning business underreported sales

An Otsego woman is accused of owing more than $20,500 in sales tax, penalties and interest.
Tax forms

The current and former owners of an Otsego-based cleaning business have been charged with multiple tax crimes, the Minnesota Department of Revenue announced Monday. 

According to a news release, the Ramsey County Attorney's Office recently charged Kelly Lynne Kiffmeyer of Otsego with three felony counts of filing known or fraudulent sales tax returns. 

Kiffmeyer's business, Kelly Kiffmeyer Inc., also known as Krispy Clean Restoration, is also charged with three felony counts of willfully failing to pay or collect sales tax. 

Kiffmeyer is accused of underreporting taxable sales in 2017, 2018 and 2019, with prosecutors saying she and the business owe more than $20,500 in sales tax, penalties and interest. 

Meanwhile, Brian Roger Posch of Plymouth is charged with three felony counts of knowingly aiding or assisting with the filing of false or fraudulent sales tax returns in connection to the cleaning business.

Posch operated Krispy Clean Inc., until his tax permit was revoked in 2012 for underreporting and underpaying sales tax. He's accused of owing more than $400,000 in unpaid taxes, penalties and interest in connection to his business.

It was determined that he was regularly involved in Kiffmeyer's business by doing the work, providing estimates, and communicating with customers and insurers.

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