NYC Councilman Chaim Deutsch pleads guilty to tax fraud, dodging $82K in federal taxes
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New York City Councilman Chaim Deutsch pleaded guilty Thursday to dodging more than $82,000 in federal taxes on income he earned from his real estate management company, prosecutors announced.
The Brooklyn lawmaker admitted he failed to account for the income from his firm, Chasa Management, Inc., on his 2015 federal tax statement, said prosecutors.
“As an elected official and community leader, Deutsch had a particular responsibility to follow the law,” said Manhattan U.S. Attorney Audrey Strauss. “Instead, over a multi-year period, Deutsch concealed his true business income to avoid paying his fair share of taxes.”
Deutsch faces up to a year in prison and a fine of 100,000 when he is sentenced on July 29 on a single count of filing a false tax return. He has agreed to pay back the $82,000 restitution plus interest.
Deutsch, 52, has served in the City Council since 2014, and represents the Brooklyn neighborhoods of Brighton Beach, Gerritsen Beach, Gravesend, Manhattan Beach, Marine Park, Midwood, Plum Beach, and Sheepshead Bay.
He could not immediately be reached for comment.
City Council members were barred from earning most outside income in 2017.
