A Beverly Hills landlord, Haim Jerry Kohen, was sentenced to 15 months in prison on Tuesday for evading nearly $1.5 million in state and federal taxes. The sentence also includes financial penalties and supervised release.
Details of the Scheme
Kohen, who owned a business dealing in used clothing, engaged in tax evasion between 2005 and 2017. Authorities found that he filed false individual and corporate tax returns, using several tactics to hide income. These included diverting business income to himself, accepting cash payments without reporting them, and failing to disclose rental income from properties in Beverly Hills and Tarzana.
Penalties and Restitution
Along with the prison sentence, Kohen was ordered to pay a $95,000 fine and $1.47 million restitution. He will also serve one year of supervised release after prison. The U.S. Department of Justice highlighted that Kohen’s evasion methods involved underreporting income from cash dealings and unreported loan interest.
Properties Involved in the Case
The tax evasion included income from two rental properties. Kohen transferred ownership of a Beverly Hills property to family members while still collecting rental income. He maintained control over the property, further complicating his tax filings.
