Taxable Talk

From Russ Fox, E.A., of Clayton Financial and Tax of Irvine, CA
All items below are for information only and are not meant as tax advice.
Please consult your own tax advisor to see how each item impacts your own situation.
Lingerie Madam Gets Year for Tax Fraud
The alleged Palos Park Madam (of suburban Chicago) successfully dodged prostitution charges. But she was less successful in avoiding tax fraud charges and will soon spend a year in jail.

Dawn Hansel had been accused in the past of everything from cocaine sales, attacking her mother-in-law, and running an upscale prostitution ring. She managed to beat all those charges. This week, though, she was sentenced to a year in prison and three years of probation for not paying $250,000 in taxes to the IRS. Ms. Hansel plead guilty to not reporting the income from cash sales in her lingerie business, "Vogue Fashions." Well, Ms. Hansel said it's a lingerie business but state prosecutors allege it's a prostitution ring.

The judge put it best, "To say Miss Hansel has an unusual background understates all the characteristics she comes with."

Coverage: Chicago Sun-Times, Daily Southtown.