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The Internal Revenue Services has four tax lien judgments against owners of The Manhattan Hairstyling academy, totaling nearly $7 million. Documents indicate that Robert and Cindy Valdez, Sr. and his sons, Robert and David Valdez Jr., and Robert's brother, John Valdez III, failed to pay income tax and payroll taxes.

The Internal Revenue Services is seeking all of these tax lien judgments as well as the return of over $4.5 million to the U.S. government and the State of Florida. The agency filed its complaint against the Manhattan Hair Salon on February 6, 2020. In a lawsuit filed in Tampa, Florida federal judge William H. Young found, “The United States is entitled to relief from all damages and claims” including “lost wages, loss of reputation, and embarrassment.”

The judge ordered the school, located at 1411 E. Fowler avenue, to remain closed until the case is resolved. He also ordered the school to reimburse the government for the cost of paying employees and other expenses. He stated that he would order a default judgment if the school failed to comply with the order.

The school was taken to court because it failed to pay taxes on its income. According to court records, the school failed to pay at least two federal income tax obligations, which resulted in an administrative notice being issued by the IRS. The school did not respond to the notice. The IRS then filed its lawsuit against the school.

The judge ordered that the school repay the government and the IRS for all of the tax lien judgments, interest and penalties, and all past and future penalties. The school must also provide financial reports to the agency and the court describing how they intend to repay its outstanding obligations and taxes. In addition, the school must stop performing tax debt collection activities and pay wages and other expenses of the employees involved in the matter.

The court ordered that the school must close its doors for a period of time until it can comply with the court order. If it does not, the court may issue another order that allows the school to continue to operate for a specified period of time while the case is ongoing.

The school must also pay for the tax lien judgments and interest owed to the state. The court is requiring it to pay these taxes within ten days of the issuance of the injunction.

The school must also allow access to an attorney for any person who has a question about the validity of the tax lien judgments or any other question regarding this matter. The attorney will assist the school in determining if it is liable for the tax lien judgments. and any other matters related to the lawsuit.

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