Jennifer Brunenkant, a 68-year-old resident of Washington, DC, has been charged with evading and failing to pay federal income and employment taxes related to her business, Herbal Alternatives II, LLC. The charges were announced following the unsealing of a 19-count indictment in U.S. District Court. The announcement was made by U.S. Attorney Edward R. Martin Jr., along with Executive Special Agent in Charge Kareem Carter from the IRS Criminal Investigation’s Washington D.C. Office.
The indictment claims that Brunenkant operated Herbal Alternatives as a sole proprietorship from at least 2013 to 2021, during which time the dispensary generated significant revenue. It is alleged that Brunenkant did not report her earnings on her annual IRS Form 1040 for tax years from 2018 to 2021 and willfully attempted to evade approximately $800,000 in federal income taxes.
Additionally, the indictment states that Brunenkant employed numerous workers at Herbal Alternatives but failed to pay about $130,000 in employment taxes owed during the specified tax years. Under federal tax laws, she was required to manage these employment taxes on behalf of her employees.
Tax evasion and failure to pay employment taxes can each result in a maximum sentence of five years imprisonment and financial penalties. Sentencing will be determined by the court according to advisory Sentencing Guidelines and other statutory factors.
The investigation is being conducted by IRS Criminal Investigation, with Assistant U.S. Attorney Brian Kelly handling prosecution duties.
It is important to note that an indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.