Owner of Utah business federally indicted for evading $1.8M in taxes, DOJ says

Charges are allegations only. All arrested persons are presumed innocent unless and until proven guilty beyond a reasonable doubt.

ST. GEORGE, Utah ( ABC4 ) — A Utah business owner accused of underreporting more than $5.4 million to the Internal Revenue Service (IRS) was indicted by a federal grand jury, according to a United States Attorney’s Office statement released Wednesday.

Phyllip Hallman Heaton, 42, the owner of Zion Outfitter, was charged with five counts of evasion of assessment of income tax and five counts of fraud and false statements, according to the news release.

From 2018 to 2022, Heaton allegedly gave his tax preparers profit statements that underreported his company’s gross profit by more than $5.4 million. Prosecutors say he evaded paying the federal government more than $1.8 million in taxes through these false statements.

Zion Outfitter is a southern Utah outdoor rental company situated near the pedestrian entrance of Zion National Park . The business provides bike and tube rentals as well as gear for canyoneering.

According to the website, Zion Outfitter’s doors are still open and the company is operating per usual despite the owner’s arrest. ABC4 reached out to the business for comment but has yet to hear back.

Heaton will have his initial appearance at the St. George Courthouse on Oct. 28.

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