He allegedly did not report more than $1 million.
The owner of souvenir and T-shirt stores in Minnesota was charged with tax evasion, failure to file a tax return, and failure to account for and pay employment tax.
According to court records, Shimon Shaked, 56, did not report the revenue and income he earned from his stores on his tax returns from 2013 through 2015. Instead, he reported the revenue and income on his daughter’s income tax returns. Shaked further evaded the assessment of taxes on the income he earned through the stores by failing to report the full revenue and income to the IRS.
Shaked used the company’s bank account to pay for personal expenses, including child support, an apartment in Duluth, and costs associated with attempting to open an alligator farm in Florida.
Shaked, who did not file a 2018 tax return, recently opened two new stores in Michigan. In all, Shaked failed to report more than $4 million in income from 2013 through 2018. He evaded and avoided paying more than $800,000 in federal income taxes.