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- calendar_today October 28, 2026
Single Shot Restaurant Owner Sentenced for Payroll Tax Fraud
Rory McCormick, owner of the Capitol Hill restaurant Single Shot, has been sentenced to 13 months in prison and three years of supervised release after pleading guilty to a $1.5 million payroll tax fraud case. The sentencing follows a lengthy federal investigation into unpaid payroll taxes that spanned a decade.
Details of the Tax Fraud Case
According to prosecutors, McCormick failed to pay more than $1.4 million in payroll taxes between 2014 and 2024. This included $1,027,362 in unpaid employee tax withholdings and an additional $418,979 in employer-side payroll taxes owed to the IRS. Rather than remitting these funds, McCormick diverted the money for personal use, including remodeling a home on Vashon Island, casino expenditures, and travel.
Employee Impact and Criminal Sentencing
The investigation revealed that wages were withheld from paychecks for 87 employees under the false pretense that taxes were being paid. However, the funds were never sent to the IRS, resulting in uncredited gaps in employees' official work histories. This action jeopardized their eligibility and reduced their future Social Security and Medicare benefits, according to federal prosecutors.
During sentencing, U.S. District Judge Kimberly Evanson noted the significant breach of public trust, stating, “During the period when taxes were not being paid, he was spending on a home remodel, casino expenses, and travel.” McCormick was ordered to pay $1,446,341 in restitution. The 13-month sentence is less than the two to three years typically recommended for federal tax fraud cases of this scale. Because McCormick's sentence exceeds one year, he is eligible for federal good-conduct credits, which may reduce his time in prison to around 11 months.
Additional Findings: Personal and Business Tax Evasion
Case documents also state that McCormick failed to file any personal income taxes from 2015 to 2024. The investigation determined that close to $400,000 was spent on purchasing and renovating a home on Vashon Island, nearly $125,000 on casino expenses, and more than $38,000 on travel during the period in question.
Scope of Charges and Impact on Single Shot Restaurant
The charges apply only to Single Shot, where McCormick is the sole registered agent. No other Seattle establishments linked to McCormick, such as Re:Public or El Grito Taqueria, were included in this tax fraud case. Despite the owner’s legal troubles, Single Shot remains open at 611 Summit Ave E, serving customers in the Capitol Hill neighborhood.
Ongoing Legal and Community Implications
The United States Attorney for the Western District of Washington announced the sentencing, marking the conclusion of a case that came to public attention in mid-2026. While McCormick’s criminal sentencing addresses the legal repercussions of payroll tax fraud, affected employees may continue to face challenges due to gaps in their credited work histories.
Source: capitolhillseattle.com.
