SACRAMENTO, Calif. (KTXL) — A Foresthill couple was sentenced for various tax avoidance schemes dating back to 2005, the U.S. Department of Justice announced Thursday.
Virendra Maharaj, 55, and his wife Rosalin R. Prasad conspired to hide their true tax obligations from the IRS while Maharaj worked at car dealerships in Sacramento and Woodland where the Justice Department said he earned “substantial income”.
The DOJ said part of Maharaj’s income and wages were paid directly to Prasad. Some of Maharaj’s creditors were also paid through indirect payments.
According to DOJ, Prasad wrongly deferred around $270,000 in capital gains related to her purchase of a $1.9 million home and conspired to underreport over $800,000 in income resulting in her underpaying federal income taxes by over $184,000.
The DOJ said that in 2015 Maharaj also did not properly file tax information related to a cash purchase exceeding $10,000 of a car at a car dealership he owned.
Maharaj was sentenced to 364 days in prison and Prasad was sentenced to 24 months of probation. The couple also agreed to pay over $600,000 in restitution.