Oh, dearie. Dolce & Gabbana are still in the hot seat with that pesky tax-fraud case that just won’t go away. WWD is reporting that today in Milan prosecutor Gaetano Ruta requested that Domenico Dolce and Stefano Gabbana and their associate Cristiana Ruella be sentenced to two and half years in prision for criminal tax evasion charges. They were fined $440.2 million for tax evasion last month by Italy’s Tax Commission.
Italy Tax Commission
Domenico Dolce and Stefano Gabbana were denied appeal and their fashion house was slapped with a fine of $440.2 million by the Italian Tax Commission. The duo got charged for transferring control of their brands to a shell company (a company that exists but does not actually do business or have any assets) called Gado Srl in Luxembourg in 2004 and 2005. The transfer allowed the designers to avoid paying a total of $550 million in taxes to Italy.