Dolce and Gabbana Headed to Jail?

Looks like fashion designers Domenico Dolce and Stefano Gabbana will soon be trading in their designer duds for some blasé prison jumpsuits.

Prosectors in the Italian creatives' tax evasion case are seeking to have them thrown in jail for not having paid €400 million in taxes, seeking to get them five years in prison between the two of them (I guess tax attorneys are less harsh when it comes to sentencing female singers).

The tax evasion case has been a long time coming, as the pair's accounting habits became suspect with their 2004 sale of their D&G and Dolce & Gabbana brands to holding company Gado, which is based in Luxembourg. Tied to the alleged tax crime was their board member Cristiana Ruella and accountant Luciano Patelli, both of whom have been previously prosecuted (Patelli was sentenced to three years in jail).

While it's disheartening to think that one of fashion's most beloved fashion duos are facing length prison time, one must wonder who will take over the reigns and emerge as the next talent in the industry?

Read More | Huffington Post

Dolce and Gabbana to be fined for tax evasion?

Domenico Dolce and Stefano Gabbana could be facing a fine of $1.2 million. The designers’ finances have come under investigation following the sale of the Dolce and Gabbana and D and G brands to their Luxemburg-based company Gado Sri. Italy’s excise and revenue police have now confirmed their recommendation is for the duo to be charged with tax evasion and abuse of rights and suggested the massive fine.

Investigators allege Gado is a legal entity set up to avoid higher tax rates in Italy, but the duo insist they have paid all taxes relating to the sale and that figures mentioned by the police are “completely abstract”. The designers said: “We will tell the 3,800 employees of the companies, which compose the group, that we have paid all that was due and that we will strenuously defend ourselves to avoid being unjustly forced to pay for something that never existed in the first place. This higher taxable sum is a virtual figure we have never received, the result of a theoretical accounting exercise.”