legal recourse for a cheating building contractor

Caught between a Rock's Avatar (by Gravatar) by Caught between a Rock in  Carpentry 

I hired a contractor to add an addition to my home. The contractor said, after a few days, he had to use someone' s license because his had expired and it would take at least 30 days to get his and then he would work on his own license. Over 5 months later he is still working under someone's license.
He and his crew are doing substandard work and asking for money every week. They quoted us one price for material and labor and continues to ask for money stating things not on the quote. The written agreement says the project would be turn key and that we would only have to walk in. He has been paid a considerably amount over his quote. He also charged us sales tax on labor and materials. I have repeatedly asked for receipts for the material and as of today 8/2/2014 he did not give them to me. He said he bought the material and all of it belongs to him. What are my legal rights since he already received over half the money for the project and still he is insisting that he needs to be paid. He keeps the material at his house and buys a lot more lumber, sheet rock and everything than the project call for..What was suppose to be a turn key garage ended with me buying soffit for the ceiling.

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