Michael Hoffman, the owner of Hoffman Jewelers of East Grand Rapids, has pleaded guilty to filing a false corporate tax return, according to a statement from Michigan’s local U.S. Attorney’s Office.
Hoffman, 59, of Ada, Mich., admitted to willfully filing a false income tax return for his business in 2007. He said the total tax loss for 2007–2009 from his business and personal returns was $261,320. Although Hoffman has since paid that amount, the statement said, he faces additional civil penalties.
Hoffman, who will be sentenced Nov. 14, could receive a possible three-year term and year of supervised release. He also could face a $250,000 fine and paying costs of prosecution in addition to a mandatory special assessment of $100.
“This is a prime example of the serious consequences for cheating on your taxes,” Special Agent in Charge Erick Martinez said in the statement. “By pleading guilty, Hoffman is acknowledging he intentionally did not report all of the earnings from his jewelry business.”