Escort to Evasion

Christina Warthen appeared to have everything. She’s a graduate of Stanford Law School. She’s married to the founder of Ask Jeeves (now Ask.com). She’s also allegedly a tax evader who ran a high priced escort service called TouchofBrazil.net.

Back in 2004 IRS agents raided her apartment and other locations seized over $61,000. That was just some of the funds that she allegedly earned from her business; the IRS alleges she cleared over $133,000 but didn’t file a tax return. Whether her business was an escort service or an older profession isn’t relevant—all income, legal or illegal, is generally taxable.

Mrs. Warthen will be arraigned later this week; she faces one count of tax evasion. So if you have an escort business try to remember to file your tax returns. If you don’t you may find yourself escorted to ClubFed.

One Response to “Escort to Evasion”

  1. taxrascal says:

    She took lots of travel deductions on that $133,000, so she ended up owing only about $25,000 in taxes. Still amazing. From Mrs. AskJeeves.com to Madam TouchofBrazil.net is quite a journey.