Feds: Poker player failed to report $1M in winnings

SHELTON — A local professional poker player faces federal prison time after he failed to pay income tax on more than $1 million in gambling winnings to the Internal Revenue Service, according to federal prosecutors.

Guy Smith, 62, waived his right to be indicted Thursday and pleaded guilty to tax evasion during a video conference court appearance.

Court documents showed that Smith owns and operates Centerline Interiors, a business that specializes in commercial interior construction.

Authorities said Smith is also a “professional poker player and has participated in poker tournaments in casinos in Connecticut and other locations around the U.S. and the Bahamas.”

Smith withdrew funds from his business and personal bank accounts to fund his gambling business, authorities said.

For the 2012 to 2016 tax years, Smith did not provide his tax preparer with any bank statements, authorities said. During that time, authorities said, Smith received about $482,000 in income from Centerline Interiors that he failed to report.

Authorities said Smith also concealed his gambling income from his tax preparer, paying no income taxes on more than $1 million in gambling winnings, despite being notified by the IRS that he had to report all his winnings.

During the 2012 to 2016 tax years, authorities said Smith failed to pay a combined total of $821,415 in federal income taxes.

Smith, who was released on a $50,000 bond, is scheduled to be sentenced on March 4. He faces up to five years in prison.

Authorities said Smith agreed to cooperate with the IRS and pay all outstanding taxes, penalties and interest.