Former business owner sentenced for failing to disclose, pay taxes on $1.2 million in revenue
PROVIDENCE, R.I. (WLNE) – The former owner of a Providence business was sentenced two years to federal probation, and to pay the IRS back more than $550,000 for not reporting more than $1.2 million dollars in revenue, according to U.S. Attorney Zachary A. Cunha.
Gladys Rossi, owner and operator of defunct Jewelry store R.I.J. Inc, plead guilty to two counts of not filing tax returns October 6. Ms. Rossi cashed checks from clients, but did not report this to the IRS. Rossi also paid employees under-the-table, and failed to maintain business records.
As a result, Ms. Rossi failed to report $1,226,707.21, resulting in an underpayment of taxes of at least $407,767. The interest on the taxes totals up to $147,848.45, with the underpayment and interest totaling up to $555,615.45.