Board of Equalization (BOE) Chairman Jerome E. Horton announced Wednesday Dec 10 that brothers Dagoberto Dueñas, 59, of Rosemead, and Mario Ernesto Gonzalez, 53, of Los Angeles, pleaded no contest to one count of sales tax evasion on December 2, 2014.
Each was sentenced to three years in state prison, to be served in county jail. Deputy District Attorney James Belna of the Los Angeles County District Attorney’s Major Fraud Division prosecuted the case.
“Tax evasion is a serious crime and it is gratifying that these men will be held to account for depriving our state’s honest taxpayers of more than $1.5 million in services,” said Chairman Horton.
Dueñas and Gonzalez owned and operated Space Auto Sales and Spin Auto Sales, respectively, used car dealerships in Los Angeles. The businesses sold used cars from approximately 2007 to 2009.
The BOE’s investigation against Dueñas and Gonzalez began in 2008 when it was discovered that they had failed to report a large amount of sales. The investigation revealed that Dueñas failed to report at least $12.3 million in taxable sales resulting in approximately $1,043,939 in unreported sales tax from 2007 through 2009. Gonzalez was held responsible for failing to report almost $500,000 of sales tax under Spin Auto Sales.
Elected in 2010, Chairman Jerome E. Horton is the Fourth District Member of the California State Board of Equalization, representing more than 8.5 million residents in Los Angeles County. He is also the Board of Equalization’s Legislative Committee Chairman. He is the first to serve on the Board of Equalization with over 21 years of experience at the BOE. Horton previously served as an Assembly Member of the California State Assembly from 2000-2006.
The five-member California State Board of Equalization (BOE) is a publicly elected tax board. The BOE collects $56 billion annually in taxes and fees supporting state and local government services. It hears business tax appeals, acts as the appellate body for franchise and personal income tax appeals, and serves a significant role in the assessment and administration of property taxes. For more information on other taxes and fees in California, visit www.taxes.ca.gov.
Add a comment
